The number of initial jobless claims in the United States has surged, and the Fed has fully priced in a rate cut next week.

The number of initial jobless claims in the United States rose sharply last week, consistent with a clear weakening of labor market conditions. The U.S. Bureau of Labor Statistics announced on Thursday that initial jobless claims rose by 27,000 to 263,000 in the week ending September 6, higher than the previous reading of 236,000 and the expected reading of 235,000.