Initial Jobless Claims fell by 5,000 in the latest week, with 227,000 people filing for unemployment benefits for the first time. Continuing Claims dropped by 22,000, as 1.838 million people are still receiving benefits after filing their initial claim.
What’s the bottom line? While Initial Jobless Claims fell to their lowest level since May, the measured week was just before Labor Day, and this could have impacted the data as people often put off filing if they’re traveling or busy for the holiday. Meanwhile, Continuing Claims have now topped 1.8 million since the start of June, remaining near some of the highest levels seen in recent years. This suggests people are collecting benefits for longer periods of time as new job opportunities have become harder to find.