New Claims for unemployment insurance fell to 550K this week from a revised 576K. That’s a substantial dip but it does little to change the overall picture. The four week moving average moved down just 1K from 568K to 567K. This is still above the 560K four week average from a month ago.
The big picture is of an economy that is improving very slowly and each new week has served only to confirm that image. Indeed, we are moving closer and closer to an outright stall.