US Economy: Jobless Claims Fall To Best Level Since Early Pandemic Days
The U.S. economy received some encouraging news Thursday after the Department of Labor reported that jobless claims fell 385,000, which is down 20,000 from the week earlier. It marked the fifth-straight week that the number of Americans seeking unemployment benefits has dropped, a positive sign as the country reopens.
The declining number of applications being sent to unemployment directly correlates with rising vaccinations and the government's easing up on restrictions with businesses. As more places are opening up, there is a need for employees.
Worker filings for initial jobless claims have dropped by 35% since late April, the Wall Street Journal noted.
“Claims remain elevated by normal standards, but the downward trend has been relentless in recent months, and a return to the pre-Covid level over the summer seems a decent bet,” Ian Shepherdson, chief economist at Pantheon Macroeconomics, told the Journal.
The Labor Department on Friday will release the monthly job report for May.
According to a survey of economists by data firm FactSet, “Employers have added 1.8 million jobs this year — an average of more than 450,000 a month — and the government’s May jobs report on Friday is expected to show that they added an additional 656,000 last month.”
NEW: U.S. jobless claims drop to 385,000 — a pandemic low.
— Kaivan Shroff (@KaivanShroff) June 3, 2021
Layoffs have slowed and the economy is strengthening.
Competent leadership is good for the economy.
New: employment report sharply exceeded expectations with 978,000 private sector jobs added in May. Analysts had expected only 650,000. Weekly jobless claims fell to a new pandemic-era low in the last week of May, although continued benefit claims unexpectedly rose.
— Jim Sciutto (@jimsciutto) June 3, 2021
Is the Biden economic strategy working? Weekly initial jobless claims are down nearly 60% from the week before @POTUS took office, to today.
— Ronald Klain (@WHCOS) May 27, 2021
Down 60%!
That's a LOT of progress in four months!
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