Citigroup: Expects a 75,000 increase in nonfarm payrolls in December, with the unemployment rate rising to 4.7%

BlockBeats News, December 31st, a Citigroup economist said that the decline in initial jobless claims around the holiday should be taken with a grain of salt. During the week of Christmas, initial jobless claims dropped from 215,000 to 199,000, while forecasters expected 220,000. Citigroup stated: "Seasonal adjustment issues around the holiday weeks this year appear to be much more acute than usual, and more reliable signals from initial jobless claims may not come until later in January." However, data shows that layoffs remain at low levels, and Citigroup expects the addition of 75,000 non-farm payrolls in December, with this data set to be released next week. Citigroup also stated: "But we still expect the unemployment rate to rise to 4.7%, in part because of a pickup in the labor force participation rate." (FXStreet)