US Jobless Claims Edged Higher in Holiday Week

John Bilton, Head of Global Multi-Asset Strategy at JPMorgan Asset Management, discusses the rout in chipmakers weighing on stocks as well as the outlook for employment as jobless claims edge higher.

Applications for US unemployment benefits rose by less than expected last week, indicating that layoffs remain relatively low.

Initial claims increased by 4,000 to 212,000 in the week ended Feb. 21, according to Labor Department data released Thursday. The median forecast in a Bloomberg survey of economists called for 216,000. The period included the Presidents’ Day holiday.

Continuing claims, a proxy for the number of people receiving benefits, declined to 1.83 million in the previous week.

Claims data can be volatile around holidays. However, the current level of initial filings is relatively subdued, adding to other recent data that indicate some stabilization in the labor market.

The February employment report, due March 6, will help policymakers gauge whether January’s strong payroll gains and dip in unemployment reflect a temporary shift or evidence of sustained improvement. Applications for US unemployment benefits rose by less than expected last week, indicating that layoffs remain relatively low.

Initial claims increased by 4,000 to 212,000 in the week ended Feb. 21, according to Labor Department data released Thursday. The median forecast in a Bloomberg survey of economists called for 216,000. The period included the Presidents’ Day holiday.

Continuing claims, a proxy for the number of people receiving benefits, declined to 1.83 million in the previous week. Claims data can be volatile around holidays. However, the current level of initial filings is relatively subdued, adding to other recent data that indicate some stabilization in the labor market.

The February employment report, due March 6, will help policymakers gauge whether January’s strong payroll gains and dip in unemployment reflect a temporary shift or evidence of sustained improvement. The four-week moving average of new applications, a metric that helps smooth out volatility, was little changed at 220,250 last week.

Before adjusting for seasonal factors, initial claims fell last week to the lowest since September, with Michigan, New York and Ohio posting the largest declines.

--------

Watch Bloomberg Radio LIVE on YouTube

Weekdays 7am-6pm ET

Follow us on X

Subscribe to our Podcasts:

Bloomberg Daybreak

Bloomberg Surveillance

Bloomberg Intelligence

Balance of Power

Bloomberg Businessweek

Listen on Apple CarPlay and Android Auto with the Bloomberg Business app:

Apple CarPlay

Android Auto

Visit our YouTube channels:

Bloomberg Podcasts

Bloomberg Television

Bloomberg Originals