Initial unemployment claims sink to their lowest level since 1969: 'A positive signal'
It's a holiday miracle?
Initial jobless claims slid to their lowest level in more than 52 years last week, CNBC reports, falling below average pre-pandemic levels and thus "marking a milestone in the labor market's recovery," adds The Wall Street Journal.
New filings for the week ending Nov. 20 totaled 199,000, "a number not seen since Nov. 15, 1969, when claims totaled 197,000," writes CNBC. The latest Labor Department report also beat the 260,000 estimate and the previous week's count of 270,000.
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.
"Claims have been moving in the right direction and are sending a positive signal about the labor market," economist Rubeela Farooqi told the Journal. "Businesses are wary of letting go of workers amid a severe labor shortage."
"It is reasonable to expect that this proxy for layoffs should continue to improve," added economic analyst Mark Hamrick in comments emailed to The Washington Post.
Economist Lou Crandall, however, believes the "larger-than-expected drop" has to do with "how the government adjusts the raw data for seasonal swings," writes Bloomberg.
"This is purely a seasonal factor distortion. Much of it will reverse next week," Crandall said following the Labor Department's release. Ian Shepherdson, chief economist at Pantheon Macroeconomics, also told MarketWatch he believes claims will rebound to about 260,000.
Continuing claims, which run a week behind initial claims, also dropped to a new pandemic-era low, falling 60,000 to 2.05 million, CNBC reports.
The Labor Department's monthly jobs report, to be released next week, "is expected to shed more light on the complex dynamics of the labor market," per the Post.
Create an account with the same email registered to your subscription to unlock access.
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
Brigid Kennedy worked at The Week from 2021 to 2023 as a staff writer, junior editor and then story editor, with an interest in U.S. politics, the economy and the music industry.
-
'Make legal immigration a more plausible option'
Instant Opinion Opinion, comment and editorials of the day
By Harold Maass, The Week US Published
-
LA-to-Las Vegas high-speed rail line breaks ground
Speed Read The railway will be ready as soon as 2028
By Peter Weber, The Week US Published
-
Israel's military intelligence chief resigns
Speed Read Maj. Gen. Aharon Haliva is the first leader to quit for failing to prevent the Hamas attack in October
By Justin Klawans, The Week US Published
-
Empty-nest boomers aren't selling their big homes
Speed Read Most Americans 60 and older do not intend to move, according to a recent survey
By Peter Weber, The Week US Published
-
Brazil accuses Musk of 'disinformation campaign'
Speed Read A Brazilian Supreme Court judge has opened an inquiry into Elon Musk and X
By Rafi Schwartz, The Week US Published
-
Disney board fends off Peltz infiltration bid
Speed Read Disney CEO Bob Iger has defeated activist investor Nelson Peltz in a contentious proxy battle
By Rafi Schwartz, The Week US Published
-
Disney and DeSantis reach detente
Speed Read The Florida governor and Disney settle a yearslong litigation over control of the tourism district
By Peter Weber, The Week US Published
-
Visa and Mastercard agree to lower swipe fees
Speed Read The companies will cap the fees they charge businesses when customers use their credit cards
By Peter Weber, The Week US Published
-
Reddit IPO values social media site at $6.4 billion
Speed Read The company makes its public debut on the New York Stock Exchange
By Peter Weber, The Week US Published
-
Housing costs: the root of US economic malaise?
speed read Many voters are troubled by the housing affordability crisis
By Peter Weber, The Week US Published
-
Feds cap credit card late fees at $8
speed read The Consumer Financial Protection Bureau finalized a rule to save households an estimated $10 billion a year
By Peter Weber, The Week US Published