THE NUMBERS: Weekly applications for unemployment benefits fell 11,000 last week to a seasonally adjusted 271,000, the Labor Department said Thursday. The less volatile 4-week average was essentially unchanged at 271,000.
THE TAKEAWAY: The numbers show that most American workers are enjoying
job security. The number of weekly claims for unemployment benefits
amounts to a proxy for layoffs. And another Labor report shows that
layoffs have dropped to well below where they were before the Great Recession of 2007-2009.
KEY DRIVERS: The U.S. job market is solid. Employers have been adding a
healthy 210,000 jobs a month so far this year. And unemployment last
month stayed at a seven-year low 5 percent.
BIG PICTURE: Unemployment claims have remained near historic lows for
the past nine months. Applications below 300,000 a week usually
correspond with net monthly job gains of more than 200,000. The American
economy is growing at a steady but unspectacular pace of about 2
percent a year — enough to support consistent hiring.
On Wednesday, the Federal Reserve
decided the economy was healthy enough to withstand the first interest
rate increase in years. Fed policymakers raised the short-term rate they
control from near zero, where it had been since December 2008.
By: Paul Wiseman (AP Economics Writer).
Review: Emerging Market Formulations & Research Unit, Flagship Records.
For The #FacebookTeam.