Claims for unemployment aid rise but remain at low level

Claims for unemployment aid rise but remain at low level

Advertisment The number of people south of the border filing for unemployment benefits rose last week, but remained below a level associated with a healthy labour market.

U.S. initial jobless claims were up 10,000 from the previous week’s downwardly-revised 258,000, to 268,000. Last week’s increase was in line with economists’ expectations. This marks 69 consecutive weeks of initial claims below 300,000, the longest streak since 1973.

A persistent increase in dismissals would spark concern among economists that businesses are growing more cautious, especially in light of Britain’s decision to leave the European Union.

The four-week moving average of new claims was 266,750, unchanged from the previous week’s average, which was revised down by 250.

Even though hiring in the US wilted in the early spring, there’s no sign layoffs are starting to rise from the lowest level in decades.

And last week’s Brexit vote startled markets making the global outlook even more unclear.

Stocks in Asia and Europe rose for a third consecutive day on Thursday, with US equities also set to open higher.

Claims for the prior week were revised to show 1,000 fewer applications received than previously reported.

Economists polled by MarketWatch had forecast new claims to total a seasonally adjusted 265,000 in week stretching from June 19 to June 25.

The Labor Department is due to publish the June jobs report on July 8.

The four week running average held steady at 267,000. The four-week average of claims declined 17,000 between the May and June survey periods. The unemployment rate fell to 4.7 percent, largely due to a fall in the size of the civilian labor force.

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