US jobless claims rise to 200,000, layoffs remain near historic lows despite economic pressures

Applications for unemployment benefits in the United States rose last week but continued to remain at historically low levels despite inflationary pressures and broader economic headwinds, AP reported. The US Labor Department said on Thursday that initial jobless claims increased by 10,000 to 200,000 for the week ending May 2. The figure was lower than analysts’ expectations of 205,000 new claims, according to data compiled by FactSet. The previous week’s figure, which had marked the lowest level since 1969, was revised upward by 1,000 to 190,000 claims. Weekly jobless claims are widely seen as an indicator of layoffs and provide one of the clearest real-time signals of labour market conditions in the US economy. The four-week moving average, which smooths out weekly volatility, declined by 4,500 to 203,250. Meanwhile, the total number of Americans continuing to receive unemployment benefits for the week ending April 25 fell by 10,000 to 1.77 million.