The number of Americans applying for unemployment benefits rose slightly last week but still remained at historically low levels despite high interest rates intended to slow hiring and cool the economy.
The Labor Department reported this morning that jobless claims were up by 2,000 to 205,000 the week that ended Dec. 16. The four-week average of claims, which smooths out week-to-week ups and downs, fell by 1,500 to 212,000.
Overall, 1.87 million Americans were collecting jobless benefits the week that ended Dec. 9, little changed from the week before.
“The data continue to signal that layoffs remain low,” says Rubeela Farooqi, chief U.S economist at High Frequency Economics. “However, demand for workers appears to be easing; job growth remains robust but has moderated, openings have moved lower … That should help rebalance the labor market and take pressure off wages and prices, in line with (Fed) policymakers’ expectations.” Read more from the report.
