May 13, 2024
First-time claims for U.S. unemployment benefits rose by much more than expected in the week ended May 4th, according to a report released by the Labor Department on Thursday.
The report said initial jobless claims climbed to 231,000, an increase of 22,000 from the previous week’s revised level of 209,000.
Economists had expected jobless claims to inch up to 210,000 from the 208,000 originally reported for the previous week.
With the much bigger than expected increase, jobless claims reached their highest level since hitting 234,000 in week ended August 26th.
“If the higher level of claims persists or if claims rise further, it would be a sign of a further loosening in labor market conditions,” said Nancy Vanden Houten, Lead U.S. Economist at Oxford Economics.
She added, “However, one week of data doesn’t change our call for the Fed to keep interest rates at current levels until September.”
The Labor Department said the less volatile four-week moving average also crept up to 215,000, an increase of 4,750 from the previous week’s revised average of 210,250.
Source: RTT NEWS
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.
