The number of newly-laid off workers seeking unemployment insurance fell last week, the government says, fresh evidence that layoffs are easing. The Labor Department said that initial claims for jobless benefits dropped to a seasonally adjusted 550,000 for the week ending Aug. 1, down from an upwardly revised figure of 588,000 in the previous week. That’s much lower than analysts’ estimates of 580,000, according to a survey by Thomson Reuters. The four-week average of claims, which smoothes out fluctuations, dropped to 555,250, its lowest level since late January.
The tally of people continuing to claim benefits rose, however, by 69,000 to 6.3 million, the department said, after dropping for three straight weeks. The continuing claims data lags initial claims by a week. Many economists expect initial claims to continue to decline this year.
