Initial Jobless Claims fell by 17,000 in the latest week, with 222,000 people filing new unemployment claims. Continuing Claims also fell by 4,000, as 1.852 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 included July 4 and this could have impacted the data as people often put off filing during holiday weeks.
Continuing Claims measured the week before Independence Day, so they were unaffected by the holiday. These Claims have now topped 1.8 million for the last five weeks, remaining near some of the highest levels seen in recent years and suggesting that it’s becoming harder for people to find a new job once they’re let go.
Again, the Fed will be watching for any sustained rise in unemployment claims as they weigh monetary policy and the timing for rate cuts this year.