financetom
Economy
financetom
/
Economy
/
US weekly jobless claims decline further
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
US weekly jobless claims decline further
Nov 27, 2024 5:47 AM

WASHINGTON (Reuters) - The number of Americans filing new applications for unemployment benefits fell again last week, but many laid-off workers are experiencing long bouts of joblessness, keeping the door open to another interest rate cut from the Federal Reserve in December.

Initial claims for state unemployment benefits dropped 2,000 to a seasonally adjusted 213,000 for the week ended Nov. 23, the Labor Department said on Wednesday. The report was published a day early because of the Thanksgiving holiday on Thursday.

Economists polled by Reuters had forecast 216,000 claims for the latest week. Claims have retreated from the near 1-1/2-year high seen in early October, which was the result of hurricanes and strikes at Boeing and another aerospace company.

They are now at levels consistent with low layoffs and a rebound in employment in November. In October the storms and recently ended seven-week Boeing strike reduced the increase in nonfarm payrolls to a paltry 12,000 jobs.

Despite the anticipated bounce back in payrolls, the unemployment rate is likely to be unchanged or even rise this month. The number of people receiving benefits after an initial week of aid, a proxy for hiring, increased 9,000 to a seasonally adjusted 1.907 million during the week ending Nov. 16, the claims report showed.

The elevated so-called continuing claims suggest that many laid off workers are finding it difficult to land new jobs.

The continuing claims data covered the period during which the government surveyed households for November's unemployment rate. The jobless rate has held steady at 4.1% for two straight months. The employment report for November would be crucial for the U.S. central bank's rate decision in mid-December.

Most economists view a rate cut next month as a toss-up amid signs of a slowdown in the disinflation trend.

Minutes of the Fed's Nov 6-7 policy meeting published on Tuesday showed officials appeared divided over how much farther they may need to cut rates. The Fed reduced borrowing costs by 25 basis points earlier this month, lowering its benchmark overnight interest rate to the 4.50%-4.75% range.

The U.S. central bank started easing policy in September, having hiked rates in 2022 and 2023 to combat inflation.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Has Trump cancelled Christmas? China's decorations makers report no US orders
Has Trump cancelled Christmas? China's decorations makers report no US orders
Apr 9, 2025
SHAOXING, China (Reuters) -Chinese producers of plastic Christmas trees and other festive decorations say orders from U.S. clients, which are crucial for their business, should have started to come in by now. But because of surging import tariffs, they haven't. U.S. President Donald Trump has raised tariffs on Chinese imports by 104%so far this year in an escalating trade war...
Ray Dalio calls for US trade deal with China
Ray Dalio calls for US trade deal with China
Apr 9, 2025
(Reuters) - Ray Dalio, founder of the world's largest hedge fund, called for a U.S. deal with the Chinese on tariffs and said that the next goal for U.S. President Donald Trump's administration should be to cut the country's deficit to 3% of GDP. Trump's decision to step back from a worse way and negotiate how to deal with these...
Has Trump cancelled Christmas? China's decorations makers report no US orders
Has Trump cancelled Christmas? China's decorations makers report no US orders
Apr 9, 2025
SHAOXING, China (Reuters) -Chinese producers of plastic Christmas trees and other festive decorations say orders from U.S. clients, which are crucial for their business, should have started to come in by now. But because of surging import tariffs, they haven't. U.S. President Donald Trump has raised tariffs on Chinese imports by 104%so far this year in an escalating trade war...
Trump signs executive orders to ease barriers for new market entrants
Trump signs executive orders to ease barriers for new market entrants
Apr 9, 2025
WASHINGTON (Reuters) -U.S. President Donald Trump on Wednesday signed several executive orders and proclamations focused on deregulating markets, including one aimed at ensuring federal regulations do not block entrants from entering new markets. Trump also signed an order to reverse conservation regulations enacted by the Biden administration to limit pressure for shower heads and other water appliances, calling the rules...
Copyright 2023-2025 - www.financetom.com All Rights Reserved