U.S. Jobless Claims Tick Up to 213,000 But Are Still Trending Lower By Investing.com
Economic Indicators 5 hours ago (Sep 22, 2022 13:48)
By Geoffrey Smith
Investing.com — The tightness in the U.S. labor market showed little sign of easing on Thursday, as the number of people claiming for jobless benefits continued to trend down despite a modest uptick.
The Labor Department said that 213,000 people filed initial claims last week, up slightly from 208,000 the week before, but below analysts’ consensus forecast of 218,000.
The previous week’s figures were revised down by 5,000. As such, the four-week average for initial jobless claims, which smoothes out some of the weekly volatility in the series, continued to decline, hitting a three-month low of 216,750.
The number of continuing jobless claims also continued to decline, by some 22,000, to 1.379 million.
The data continue to suggest that despite a slowdown that is causing layoffs to increase, it’s still relatively simple for those who lose one job to find another almost immediately.
“The low level of claims is a reminder that labor market conditions remain extremely tight,” said Nancy Vanden Houten, an analyst with Oxford Economics, in a note to clients. “The imbalance between the supply and demand for workers is key factor behind the Fed’s plans to continue aggressively raising interest rates.”
The Federal Reserve raised its target range for fed funds by another 75 basis points on Wednesday, to 3%-3.25%, a level that Chairman Jerome Powell said was only at the lower end of what could be considered restrictive for the economy. The Fed’s new ‘dot-plot’ foresees rates rising by more than another percentage point before plateauing next year.
Anecdotal reports suggest that layoffs are, however, picking up across the economy while the pace of hiring is slowing. The Wall Street Journal reported on Wednesday that Meta Platforms (NASDAQ:META), the owner of Facebook, is quietly culling its workforce to cut its operating costs by 10%, while retail giant Walmart (NYSE:WMT) – which hired over 150,000 employees to deal with last year’s holiday period – said it only intends to hire 40,000 this year.
U.S. Jobless Claims Tick Up to 213,000 But Are Still Trending Lower
By Sudarshan Varadhan and Aftab Ahmed NEW DELHI (Reuters) – India’s thermal coal imports from Russia are expected to fall for the first time in four months in September, two…
By Essi Lehto VAALIMAA, Finland (Reuters) -Finland said on Thursday it was considering barring most Russians from entering the country as traffic across the border from its…
(Reuters) – Retailers in Britain are looking to increase pay and attract staff in a tight labour market, as workers are increasingly taking to strike action amid a cost-of-living…
© 2007-2022 Fusion Media Limited. All Rights Reserved.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.