U.S. applications for jobless benefits hit a two-month low last week, according to the Associated Press, but while layoffs remain low, there is mounting evidence of a softening job market.
The Labor Department reported Thursday that the number of Americans filing for unemployment benefits for the week ending Sept. 20 fell by 14,000 to 218,000. That’s less than the 235,000 analysts had forecast.
The four-week average of claims, which evens out some of the weekly volatility, was down 2,750 to 237,500.
The total number of Americans collecting unemployment benefits for the prior week of Sept. 13 slipped by 2,000 to 1.93 million.
While layoffs remain historically low, recent government data — including a disappointing August jobs report that said only 22,000 jobs were added to nonfarm payrolls that month — has raised worries about the health of the American labor market.
The August job numbers led the Federal Reserve to cut its key interest rate last week by a quarter-point.
