Jobless claims remain low in the face of rising global trade tensions


Unemployment claims rose less than expected at the end of July, Reuters reports. Labor Department data released Thursday shows that economists' fears of a residual effect from global trade tensions are so far unfounded.
During the last week of July, unemployment benefit claims rose by 1,000, bringing the total to 218,000. The increase was a modest uptick from the previous week, when the 208,000 claims marked the lowest number since 1969.
"Claims had started to move higher in mid-June, leading us to question whether it could be the fallout of protectionist measures,” Blerina Uruci, an economist at Barclays, told Reuters. “The decline over the past few weeks, however, suggests no such effect on labor markets yet."
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Economists had predicted that the numbers would rise more substantially, forecasting around 220,000 claims. Some cited rising tensions due to the Trump administration's tariffs on imported goods from China and the European Union, foreseeing a disrupted supply chain that could affect employment numbers. However, the Labor Department said that "the labor market has continued to strengthen and economic activity has been rising at a strong rate." Read more at Reuters.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Summer Meza has worked at The Week since 2018, serving as a staff writer, a news writer and currently the deputy editor. As a proud news generalist, she edits everything from political punditry and science news to personal finance advice and film reviews. Summer has previously written for Newsweek and the Seattle Post-Intelligencer, covering national politics, transportation and the cannabis industry.
-
'"Andor" examines all sides of how empires operate'
Instant Opinion Opinion, comment and editorials of the day
By Justin Klawans, The Week US
-
DHS chief Kristi Noem's purse stolen from eatery
Speed Read Homeland Security Secretary Kristi Noem's purse was stolen while she dined with family at a restaurant in Washington, D.C.
By Peter Weber, The Week US
-
Harvard sues Trump over frozen grant money
Speed Read The Trump administration withheld $2.2 billion in federal grants and contracts after Harvard rejected its demands
By Peter Weber, The Week US
-
Markets notch worst quarter in years as new tariffs loom
Speed Read The S&P 500 is on track for its worst month since 2022 as investors brace for Trump's tariffs
By Peter Weber, The Week US
-
Tesla Cybertrucks recalled over dislodging panels
Speed Read Almost every Cybertruck in the US has been recalled over a stainless steel panel that could fall off
By Justin Klawans, The Week US
-
Crafting emporium Joann is going out of business
Speed Read The 82-year-old fabric and crafts store will be closing all 800 of its stores
By Peter Weber, The Week US
-
Trump's China tariffs start after Canada, Mexico pauses
Speed Read The president paused his tariffs on America's closest neighbors after speaking to their leaders, but his import tax on Chinese goods has taken effect
By Peter Weber, The Week US
-
Chinese AI chatbot's rise slams US tech stocks
Speed Read The sudden popularity of a new AI chatbot from Chinese startup DeepSeek has sent U.S. tech stocks tumbling
By Peter Weber, The Week US
-
US port strike averted with tentative labor deal
Speed Read The strike could have shut down major ports from Texas to Maine
By Peter Weber, The Week US
-
Biden expected to block Japanese bid for US Steel
Speed Read The president is blocking the $14 billion acquisition of U.S. Steel by Japan's Nippon Steel, citing national security concerns
By Peter Weber, The Week US
-
Judges block $25B Kroger-Albertsons merger
Speed Read The proposed merger between the supermarket giants was stalled when judges overseeing two separate cases blocked the deal
By Peter Weber, The Week US