US Weekly Jobless Claims Unexpectedly Fall

A New York Department of City Administrative Services representative, left, speaks with job seekers during a Catalyst Career Group job fair in New York.

Caitlin Ochs | Bloomberg | Getty Images

The number of Americans filing applications for unemployment benefits unexpectedly fell last week, pointing to a still-tight jobs market even as hiring and economic growth have slowed.

Initial claims for state unemployment benefits declined 6,000 to a seasonally adjusted 212,000 for the week ended Oct. 19, the Labor Department said on Thursday. Data for the prior week was upwardly revised to 218,000.

Economists polled by Reuters had forecast claims edging higher to 215,000 in the latest week. The Labor Department said no states had claims estimated last week.

The overall decrease was despite an ongoing strike by about 48,000 workers at General Motors. While striking workers are not eligible for unemployment benefits, the work stoppage has affected production, impacting non-striking employees at suppliers.

The United Auto Workers union reached a tentative agreement with the Detroit automaker last week on a new four-year-contract but will remain on strike until members complete a vote on the proposal by Friday.

The four-week moving average of initial claims, considered a better gauge of labor market trends as it irons out week-to-week volatility, declined 750 to 215,000 last week.

The claims report also showed the number of people receiving benefits after an initial week of aid fell 1,000 to 1.682 million for the week ended Oct. 12. The four-week moving average of the so-called continuing claims increased 6,500 to 1.677 million.

RECENT NEWS

Stocks Rise After Better-than-expected Jobs Report To Close Out Winning Week

Stocks rose on Thursday following a better-than-expected U.S. jobs report as the economy tries to recover from the coron... Read more

Record Jobs Gain Of 4.8 Million In June Smashes Expectations; Unemployment Rate Falls To 11.1%

Another big contributor to the decline of the jobless rate was a plunge in those on temporary layoff. That total fell by... Read more

17.6 Million Unemployed Americans Probably Won't Return To Their Pre-pandemic Jobs

The share of the workforce currently out of work with no reasonable chance of returning to their jobs is about 11%, or a... Read more

GM, Fiat Chrysler U.S. Auto Sales Tank In Second Quarter As Coronavirus Saps Demand

U.S. vehicle sales in the second quarter for General Motors, Toyota Motor and Fiat Chrysler plunged by more than 30% Read more

Mortgage Demand Falls For The Second Straight Week, Signaling A Potential Slowdown In The Housing Recovery

The surge in mortgage demand from homebuyers over the past two months appears to be waning, even as mortgage rates conti... Read more

Fed's Bullard Warns Of Financial Crisis Risks As Virus Cases Spike, FT Reports

St. Louis Federal Reserve Bank president James Bullard has warned that a growing number of bankruptcies due to the coron... Read more