|
U.S. jobless claims rise,
labor market still tight
Send a link to a friend
 [June 22, 2017]
WASHINGTON, (Reuters) - The number
of Americans filing for unemployment benefits increased slightly last
week, but remains at levels consistent with a tight labor market.
Initial claims for state unemployment benefits increased 3,000 to a
seasonally adjusted 241,000 for the week ended June 17, the Labor
Department said on Thursday.
Economists polled by Reuters had forecast first-time applications for
jobless claims rising to 240,000 in the latest week.
Jobless claims for the prior week were revised upwards by 1,000 to
238,000 from 237,000. This week's tally is the 120th consecutive week
that claims have been below 300,000, the threshold associated with a
strong labor market. It's the longest stretch that the U.S. jobs market
has remained below that level since 1970.
The four-week moving average of claims, considered a better measure of
labor market trends as it smoothes week-to-week volatility, rose 1,500
to 244,750 last week, the highest since early April.
Many economists consider the labor market to be at or near full
employment. The unemployment rate in May declined to a 16-year low of
4.3 percent.
The U.S. Federal Reserve raised interest rates by a quarter percentage
point last week for the second time in three months and signaled it
remains on track for one more rate hike this year.
[to top of second column] |
Target recruiters talk with job candidates Briana McShane (L) and
Tanner Keyfauber (C) at a job fair in Golden, Colorado, June 7,
2017. REUTERS/Rick Wilking
Fed officials have been buoyed by the tightening jobs market although it has yet
to translate into significant pricing pressures.
Indeed, some policymakers at the central bank have begun to show increasing
concern that a recent pullback in inflation may point to sustained difficulty in
returning it to the Fed's 2 percent target.
A Labor Department official said there were no special factors influencing the
claims data. Only claims for Louisiana were estimated.
Thursday's claims report also showed the number of people still receiving
benefits after an initial week of aid increased 8,000 to 1.94 million in the
week ended June 10.
The so-called continuing claims have now been below 2 million for 10 straight
weeks, indicating diminishing labor market slack.
[© 2017 Thomson Reuters. All rights
reserved.] Copyright 2017 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
 |
