The number of initial unemployment claims in the United States decreased slightly last week, indicating that the number of layoffs by companies remains at a relatively low level, which continues to be a major factor supporting the American labor market.
The U.S. Department of Labor reported on Thursday (September 10) that for the week ending September 5, the seasonally adjusted number of initial unemployment claims nationwide was 206,000, lower than the revised 207,000 from the previous week. Economists surveyed by Reuters had previously expected the number of claims last week to be 205,000.
The report also revealed that the four-week moving average of initial unemployment claims nationwide also decreased slightly last week, to 206,000.
In recent years, the number of initial unemployment claims has mostly stayed within the healthy range of 200,000 to 250,000 per week, with the past year maintaining historical lows of 200,000 to 230,000.
The data for continuing unemployment claims are released with a one-week lag. For the week ending August 29, the total number of people receiving unemployment benefits in the U.S. decreased by 1,000 to 1.774 million after seasonal adjustments.
Since mid-July, the number of initial unemployment claims has remained within a narrow range of 189,000 to 212,000 per week, in line with the gradual recovery in the U.S. labor market. Previously, the job market had been slowing down from late spring to throughout the summer.
According to government data reported last week, after adding 21,000 nonfarm jobs in July, the U.S. added another 162,000 jobs in August, marking the largest increase in five months. The unemployment rate in August remained unchanged at 4.1%.
The number of initial unemployment claims per week is often seen as an indicator of business layoff situations and serves as a real-time indicator of the health of the American job market.
The Labor Department’s report on Thursday indicated that despite the rise in gasoline prices due to the U.S. and Israel’s war with Iran since February 28, the American job market has remained stable.
However, while employment growth has improved, long-term unemployment remains a concern. The median duration of unemployment in August was 11.4 weeks, nearing the highest point in over four and a half years.
(This article referenced reporting from Reuters)