US jobless claims climb to highest rate since June
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The news: The number of Americans filing new applications for jobless benefits climbed by the most in months last week, signalling that layoffs could be on the rise as the labour market cools.
The numbers: The US Labor Department said that initial claims for state unemployment benefits climbed 11,000 for the week ended 16 August. The rise to a seasonally adjusted 235,000 claims is the largest increase since May. Reuters economists had forecast 225,000 claims for the week.
The context: Continuing claims, seen as a proxy gauge for the number of people receiving benefits rose to 1.97 million, the highest level since November 2021. The rise in continuing claims aligns with concerns that jobs are increasingly difficult to find as employers remain cautious against a backdrop of macroeconomic uncertainty.
The Labor Department data saw the 4-week moving average for claims rise 6,500 to 1.95 million from the previous week’s revised average, the highest reading in a month.
The sources: US Department of Labor, Reuters
