Jobless claims rise to highest level in more than a year

More people claiming unemployment benefits. — (Image credit: Spencer Platt/Getty Images)

The number of first-time claims for state unemployment benefits rose yet again last week, marking the third consecutive week that the number of claims has increased and notching the highest total of claims since February 2015. The Labor Department said Thursday that initial applications for unemployment benefits rose by 20,000 from last week for a total of 294,000 for the week ending May 7.

However, an economic analyst at FTN Financial in New York told Bloomberg that while this rise, coupled with last week's payroll number, "will raise eyebrows," it's not a cause for concern. "It's something to keep an eye on, but not necessarily anything to panic about," analyst Sophia Kearney-Lederman said. For 62 weeks straight now, jobless claims have remained below 300,000, which economists say is usually a good indication of an improving job market. In even better news, the 62-week stretch marks the longest such streak since 1973.