U.S. jobless claims increase for fourth straight week
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 [January 11, 2018]
WASHINGTON (Reuters) - The
number of Americans filing for unemployment benefits unexpectedly rose
last week, hitting their highest level in more than three months, likely
as a cold snap kept some workers at home.
Initial claims for state unemployment benefits increased 11,000 to a
seasonally adjusted 261,000 for the week ended Jan. 6, the highest level
since late September, the Labor Department said on Thursday. Claims have
now risen for four straight weeks.
The increase likely does not suggest a material shift in labor market
conditions as claims data tend to be volatile during year-end holidays.
Economists polled by Reuters had forecast claims falling to 245,000 in
the latest week.
A large part of the country was hit by frigid temperatures and snow
during the first week of 2018, likely making it hard for some people to
report for work. Unadjusted claims for New York increased by 27,170 last
week, more than half of the national total.
The Labor Department said claims data for Maine were estimated. It also
said claims-taking procedures continued to be disrupted in the Virgin
Islands months after they were battered by Hurricanes Irma and Maria,
while claims processing in Puerto Rico was still not back to normal.
Last week marked the 149th straight week that claims remained below the
300,000 threshold, which is associated with a strong labor market. That
is the longest such stretch since 1970, when the labor market was much
smaller.
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A private interview space sits ready for recruiters in Washington,
June 11, 2013. REUTERS/Jonathan Ernst/File Photo
The labor market is near full employment, with the jobless rate at a 17-year low
of 4.1 percent. Last week, the four-week moving average of initial claims,
considered a better measure of labor market trends as it irons out week-to-week
volatility, rose 9,000 to 250,750.
The continuing low level of claims suggests a strong labor market. The pace of
job growth is, however, expected to slow this year as the labor market hits full
employment. Nonfarm payrolls increased by 148,000 jobs in December after surging
by 252,000 in November.
Thursday's claims report also showed the number of people receiving benefits
after an initial week of aid dropped 35,000 to 1.87 million in the week ended
Dec. 30, the lowest level since December 1973. The four-week moving average of
the so-called continuing claims fell 5,500 to 1.91 million.
(Reporting by Lucia Mutikani;
Editing by Paul Simao;
Lucia.Mutikani@thomsonreuters.com;
1 202 898 8315; Reuters Messaging: lucia.mutikani.
thomsonreuters.com@reuters.net)
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