adminThe numbers: Initial jobless benefit claims inched lower by 1,000 to 202,000 in the week ended Jan. 6, the Labor Department said Thursday.
This is the lowest level since mid-October.
Economists polled by the Wall Street Journal had estimated new claims would rise to 210,000.
The prior week’s new claims fell by a revised 17,000 to 203,000. That compared with the initial estimate of a drop of 18,000 to 202,000.
Key details: The number of people already collecting unemployment benefits in the week ended Dec. 30 fell by 34,000 to 1.83 million. This is the lowest level since October. Continuing claims have fallen by 90,000 since the end of November.
Big picture: The labor market remains healthy. That keeps consumers spending and supports economic growth, albeit at a slower pace than last fall.
What are they saying? The data suggest that “businesses are not laying off workers but are cutting back on hiring. This is consistent with slower but still positive employment growth as seen in the monthly jobs numbers and the hiring data,” said Stuart Hoffman, senior economic adviser at PNC Financial Services Group.
Market reaction: Stocks
DJIA
SPX
opened higher on Thursday, while the yield on the 10-year Treasury note
BX:TMUBMUSD10Y
rose to 4.04%.
Market Extra: S&P 500 flirts with first record close in over 2 years. Get ready to celebrate?
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