Weekly applications for unemployment insurance have decreased to their lowest level since May, while continuing claims have also retracted, as indicated by US government data released Thursday. The seasonally adjusted number of initial claims fell by 4,000, reaching 217,000 in the week ending Saturday, marking the lowest point since May 18.
Analysts had a consensus expectation for this figure at around 220,000 based on a survey compiled by Bloomberg. The previous week’s level remained unchanged at 221,000. This drop in claims occurred as the effects of recent hurricanes and the now-settled Boeing strike diminished, noted Oxford Economics in their commentary emailed to MT Newswires.
The strike lasted over seven weeks, concluding in early November. Furthermore, the four-week moving average for initial claims saw a decline of 6,250, settling at 221,000, a decrease from the prior unrevised tally of 227,250. For the week ending November 2, the seasonally adjusted continuing claims also dropped by 11,000, now resting at 1.87 million, in line with the consensus polled by Bloomberg.
The previous week’s figure was revised down by 8,000. The four-week moving average stood at 1.87 million, the highest since November 27, 2021, and had been revised down by 2,000 from the previous week’s four-year average. "Continued claims may remain elevated for longer as it may take time for some of those who suffered job losses related to the hurricanes or the Boeing strike to return to work or find new jobs," stated Oxford Lead US Economist Nancy Vanden Houten.
Continued applications have remained high in states like Michigan and Ohio, largely due to ongoing manufacturing layoffs, she added..