Macro Matters

September 8, 2022
12:45 PM UTC
Last Updated ago

U.S. weekly jobless claims fall to three-month low
Reuters

2 minute read

Sept 8 (Reuters) - The number of Americans filing new claims for unemployment benefits fell last week to a three-month low, underscoring the robustness of the labor market even as the Federal Reserve raises interest rates.

Initial claims for state unemployment benefits declined 6,000 to a seasonally adjusted 222,000 for the week ended Sept. 3, the Labor Department said on Thursday. ... Data for the previous week was revised to show 4,000 fewer applications filed than previously reported. Economists polled by Reuters had forecast 240,000 applications for the latest week.

The Federal Reserve has raised interest rates by 225 basis points since March in a bid to tame high inflation by dampening demand in the economy. Despite that, there is little indication yet of widespread layoffs and there are still two vacancies for every unemployed person.

The strength of the labor market has put to bed fears the economy is in recession after gross domestic product contracted in the first half of the year.

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