The number of Americans applying for unemployment benefits fell last week — another sign that the job market remains resilient in the face of high interest rates, according to the Associated Press.
Jobless claims dropped by 7,000 to 227,000 last week, the Labor Department reported today. The four-week average of claims, which smooths out week-to-week volatility, fell by 4,500 to 236,500.
In the week that ended Aug. 3, 1.86 million Americans were collecting jobless benefits, down by 7,000 from the week before.
Weekly filings for unemployment benefits, which are a proxy for layoffs, remain low by historical standards. From January–May, claims averaged a rock-bottom 213,000 per week, but they started rising in May, hitting 250,000 in late July and adding to evidence that high interest rates are taking a toll on the U.S. job market.
Claims have since fallen two straight weeks, however, dispelling worries that the job market was deteriorating rapidly rather than just slowing.
