|
The
Labor Department reported Thursday that jobless claims for the
week ending July 19 fell by 4,000 to 217,000. That’s fewer than
the 227,000 new applications analysts were expecting.
Applications for unemployment aid are viewed as representative
of layoffs.
Earlier in July, the Labor Department reported that U.S.
employers added a surprising 147,000 jobs in June, adding to
evidence that the American labor market continues to show
resilience despite uncertainty over President Donald Trump’s
economic policies. The job gains were much more than expected
and the unemployment rate ticked down 4.1% from 4.2% in May.
Though the job market is broadly healthy by historical
standards, some weakness has surfaced as employers contend with
fallout from Trump’s policies, especially his aggressive
tariffs, which raise prices for businesses and consumers. Most
economists believe the import duties make the economy less
efficient by reducing competition. They also invite retaliatory
tariffs from other countries, hurting U.S. exporters and
potentially driving businesses to freeze hiring or cut staff.
The deadline on most of Trump’s stiff proposed taxes on imports
were extended again until Aug. 1. Unless Trump reaches deals
with countries to lower the tariffs, economists fear they could
act as a drag on the economy and trigger another bout of
inflation.
Companies that have announced job cuts this year include Procter
& Gamble, Workday, Dow, CNN, Starbucks, Southwest Airlines,
Microsoft, Google and Facebook parent company Meta.
The Labor Department's report Thursday showed that the four-week
average of claims, which evens out some of the weekly
volatility, declined by 5,000 to 224,500.
The total number of Americans collecting unemployment benefits
for the week of July 12 remained stable, rising by just 4,000 to
1.96 million.
All contents © copyright 2025 Associated Press. All rights reserved
|
|
