Jobless Claims Rise as Layoffs Increase

Thursday, 13 Feb 2014 09:35 AM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
The number of people seeking U.S. unemployment benefits rose 8,000 last week to 339,000, evidence that layoffs ticked up. Still, the increase wasn't enough to suggest the job market is worsening.

The Labor Department said Thursday that the four week average of applications, a less volatile measure, increased 3,500 to a seasonally adjusted 336,750.

The average is roughly in line with pre-recession levels and suggests that, despite last week's rise, companies are cutting few jobs. Applications are a proxy for layoffs.

Editor’s Note: Retire 10 Years Earlier With These 4 Stocks

Last week's figure may also have been pushed up by cold weather, which can cause construction firms and other companies to stop work.

A total of 3.52 million Americans received benefits as of Jan. 25 — the latest data available — up from 3.47 million the previous week.

The data suggests the job market remains stable, despite weak hiring in the past two months. Tepid job gains in January and December have raised concerns that the economy has lost momentum this year.

But a sharp slowdown in growth and hiring is less likely as long as applications for unemployment benefits remain relatively low. Steady applications suggest businesses are confident enough in the economy to hold onto their workers.

Employers added just 113,000 jobs in January, a second straight weak showing after just 75,000 new jobs in December. Economists have partly blamed December's figures on extremely cold weather.

There were some good signs in January's report. The unemployment rate fell to a five-year low of 6.6 percent, from 6.7 percent. The decline occurred because more of those out of work found jobs. That was an improvement from December, when the rate fell because many of the unemployed stopped searching for work. The government only counts people as unemployed if they are actively looking.

Other recent economic data has been mixed. A survey of manufacturing firms found that factory expansion slowed in January, as a measure of new orders plummeted. A separate gauge of forthcoming home sales also fell.

But a survey of service companies, which covered retailers, construction contractors, and financial services firms, among others, found that growth accelerated last month.

Editor’s Note: Retire 10 Years Earlier With These 4 Stocks

© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Workers in Part-Time Limbo Mean Job-Market Slack Persists

Thursday, 02 Oct 2014 07:17 AM

The labor-market recovery that Federal Reserve Chair Janet Yellen seeks is proving incomplete as many U.S. workers langu . . .

Fed Critics: 2010 Letter Warning of Inflation Will Prove True

Thursday, 02 Oct 2014 07:55 AM

Signatories of a letter sent to then-Federal Reserve Chairman Ben S. Bernanke in 2010 warning of the risks associated wi . . .

Morici: Slow Growth Has Likely Inflated 'Real' Jobless Rate to 20%

Thursday, 02 Oct 2014 07:31 AM

The real jobless rate is likely closer to 20 percent, and the root cause is slow economic growth. . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved