U.S. labor market strength pave way for Fed’s December hike

Initial jobless claims in U.S. fell to 271k in the week ending November 14, which was 276k in previous month. The four-week moving average of initial claims increased to 271k against 268k in October.

Continuing jobless claims for the prior week have marginally reduced to 2.175mn against previous month's 2.177mn. The four-week average was stable at 2.167mn. The Labor Department noted that jobless claims data for Louisiana were estimated this week.

Labor market separations remain at historical lows as the insured unemployment rate steady at 1.6%. Modestly higher survey-week initial claims suggest November payroll growth moderated after the surprising robust figure of 271k for October. That said, 

"We view US labor market strength as very much intact and expect another month of solid job gains to pave the way for the Fed to raise rates in December", says Barclays in a research note.