The number of Americans filing for unemployment benefits unexpectedly dropped last week, falling to the lowest level in four months.
Figures released Thursday by the Labor Department show initial claims for the week ended Jan. 14 fell to 190,000 from the unrevised 205,000 recorded a week earlier. That is below the 2019 pre-pandemic average of 218,000 claims and matches a low notched in mid-September.
Continuing claims, filed by Americans who are consecutively receiving unemployment benefits, rose slightly to rose slightly to 1.65 million for the week ended Jan. 7, an increase of 17,000 from the previous week. One year ago, nearly 2.30 million Americans were receiving unemployment benefits.
“Despite growing evidence of deceleration in the economy and a growing chorus of layoff announcements, it’s not yet apparent in jobless claims data,” said Jim Baird, the Plante Morgan Financial Advisors CIO. “For now, the data points to a labor market that is grinding ahead against the weight of slowing demand.”
This is a developing story. Please check back for updates.