US initial jobless claims edge higher

    The number of Americans filing new claims for unemployment benefits increased last week, Reuters reports

    Initial claims for state unemployment benefits rose 8,000 to a seasonally adjusted 229,000 for the week ended June 1, the Labor Department said on Thursday. The department also said that unit labor costs rose by less than previously thought in the first quarter, suggesting that the labor market is cooling but not at a rate high enough for the Federal Reserve to cut interest rates.

    “The level (of weekly jobless claims) remains in a range that suggests the labor market remains tight,” says Thomas Simons, U.S. economist at Jefferies. “Continuing claims are still very low by any historical standard, and we still see the data as supporting the notion that people who lose a job are able to find a new one with relative ease.”

    The Labor Department earlier this week released data showing that U.S. job openings in April fell more than expected and the number of available jobs per job seeker reached its lowest level since June 2021.

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