BREAKING: US GDP growth slightly below expectations. Jobless Claims rise more than forecasts

Long-awaited US GDP report for Q1 2021 was released today at 1:30 pm BST. Data showed that the US economy grew at an annualized 6.4% QoQ  from 4.3% expansion in Q4. Today’s reading  came in  slightly below market expectations of 6.5%. 

Core personal consumer expenditures, the favored measure of inflation at the Federal Reserve, rose to 2.3%  year-on-year from 1.3% in the previous month and below consensus estimates of 2.4%.

The number of Americans filling for unemployment benefits was  0.553 million in the week ended April 24th, compared to 0.547 million reported in the previous week. Today’s reading came in above market expectations of 0.549 million. Claims are still far from 200 thousand level reported back in February. Continuing claims reading, which lags initial jobless claims data by one week, dropped to 3.660 million, while analysts expected decrease to 3.61 million. Today’s reading still remain much above the 1.7 million average reported before the pandemic.