BREAKING: US500 drops in reaction to higher Jobless Claims

13:30 (PM BST) - USA, Weekly Jobless Claims

• New release: 228 000

• Forecast: 200 000

• Previous: 198 000 (and 246 000 after revision)

US Weekly Initial Jobless Claims, created by XTB, source Bloomberg

The higher-than-expected reading confirms that the US economy is slowing down and reduces the chances of another Fed hike in May. At the last meeting, Powell suggested that the labor market is an important indicator analyzed by the Fed.

Significant revision of Jobless Claims readings from last week - from 198 000 previously to as high as 246 000.

The US SP500 index price drops and the price of the index may fall to the support line at around 4100 points.

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US500 Index, source xStation 5