Weekly jobless claims dip to seven-week low |
The number of Americans filing new applications for jobless benefits unexpectedly fell to a seven-week low last week, the Labor Department reported on Thursday, suggesting employers may be holding on to workers despite other indications of a cooling labor market and creating no urgency for the Federal Reserve to resume its interest rate cuts. initial claims fell for a fourth straight week in the seven days to July 5th, slipping 5,000 to a seasonally-adjusted 227,000. Economists were expecting claims to move higher to 238,000, according to FactSet. The four-week moving average fell to 235,500, the lowest since late May, while continuing claims, reported with a one-week lag, rose by 10,000 to 1.965m. “It’s difficult to find a new job right now. Young people are struggling to get their first jobs and anyone who has been laid off is having a hard time landing their next role,” Heather Long, chief economist at Navy Federal Credit Union, wrote Thursday. “The labor market is frozen outside of healthcare, education and law enforcement jobs. Hiring is anemic in other sectors as companies remain cautious in this environment.”
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