The labor market remains resilient! The number of initial jobless claims in the United States unexpectedly fell to a new low in over a month last week.

The data released on Thursday showed that the number of initial jobless claims in the United States for the week ending February 14 fell to 206,000, the lowest level since the week ending January 10, lower than the market expectation of 225,000 and the revised previous value of 229,000. The number of continued jobless claims in the United States for the week ending February 7 was 1.869 million, higher than the market expectation of 1.86 million and the revised previous value of 1.852 million; the four-week average of initial jobless claims in the United States for the week ending February 14 was 219,000, slightly lower than the revised previous value of 220,000. This latest data on initial jobless claims indicates that the U.S. labor market still has resilience. At a time when inflation concerns are reigniting, this employment data is expected to dampen investors' expectations of a Fed rate cut. The escalating tension between the U.S. and Iran has already pushed up oil prices, fueling concerns about inflation. The latest minutes from the Fed meeting show that Fed officials expect inflation to decline towards 2%, but the pace and timing of the decline remain uncertain. The impact of tariffs on core commodity prices may start to weaken this year. Most officials at the meeting warned that progress towards the 2% inflation target may be slower and more uneven than widely expected, with the risk of inflation persisting above the target not to be overlooked. Some officials also pointed out that sustained demand pressures could keep inflation elevated.