Jobless Claims Decline to a Five-Week Low of 234,000
Filings for U.S. unemployment benefits declined to a five-week low, highlighting a resilient job market, a Labor Department report showed April 6.
Key Points
• Jobless claims slumped by 25,000 to 234,000 (forecast was 250,000) in the week ended April 1.
• Weekly decline was biggest since April 2015; prior week revised to 259,000 from 258,000.
• On an unadjusted basis, applications slumped in California, New York and Pennsylvania — more than reversing the prior week’s increases for these states.
The number of people continuing to receive jobless benefits dropped by 24,000 to 2.03 million in the week ended March 25. This data is reported with one-week lag.
Big Picture
Claims are hovering near the lowest level since the early 1970s, indicating employers remain reluctant to reduce staff amid steady demand and a shortage of workers with relevant skills and experience.
Economists consider weekly filings below 300,000 as consistent with a healthy labor market. The data, which have been volatile lately, come a day before the monthly payrolls report that is projected to show the addition of 180,000 workers in March following a 235,000 advance the prior month.
Other Details
• Four-week average of initial claims, a less-volatile measure than the weekly figure, fell to 250,000 from 254,500 in the prior week.
• The unemployment rate among people eligible for benefits held at 1.5 %.
• Claims last week were estimated for Louisiana.
• There was nothing unusual in the broader data, according to the Labor Department.
