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US jobless claims drop by 8,000, signals strong labor market

Oct 2, 2014 By Christina Langfold Leave a Comment

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People fill out application forms before a screening session for seasonal jobs at Coney Island in the Brooklyn borough of New York

The US jobless claims dropped unexpectedly last week as Americans in low numbers turned up for filing applications to claim their unemployment benefits, signaling a tighter environment in the American labor market.

The Labor Department report, released on Thursday, showed that the initial claims for state jobless benefits declined 8,000 to a seasonally adjusted 287,000 in the week that ended on September 27.

Earlier, the unemployment benefit claims for the prior week were revised in order to show 2,000 additional applications received than previously reported.

Meanwhile, the economists and market watchers had projected claims rising to 297,000 last week.

According to the financial analysts, the jobless claims have dropped steadily since the United States emerged from the Great Recession of 2007-09. Currently, the claims are lower than they were before the beginning of the economic crisis in the US.

The economists said that this week’s report has come as a big relief for the jobs market as the government prepares to release the September’s monthly jobs report, set to be released on Friday.

According to the private research firm ADP’s survey, the private employers added 213,000 jobs in September, a slight gain from 202,000 in August.

The government’s job report for August showed that the employers added only 142,000 new jobs in the month.

According to several economists, the government’s job report is expected to show addition of 215,000 new jobs in September and the unemployment rate remaining at 6.1 percent.

Meanwhile, the US Labor Department said that no special factors were present last month to influence the state level data.

 

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Christina Langfold

Remember that weird girl in school who never quite managed to fit in? Who was always silent and strange? That was me during my entire teenage life. A few years after finishing college (with a degree in arts) I decided that the best way to become more sociable, while also feeling safe, is to test my people skills online.

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Filed Under: Business Tagged With: US jobless claims, US labor department, US labor market, US unemployment benefits claim

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