US jobless claims unexpectedly fall

The number of applications filed for unemployment benefits in the US unexpectedly declined in the week ended July 5.

Initial jobless claims fell by 5,000 to 227,000 last week, the US Department of Labor said today, July 9.

This came against expectations of a 235,000-rise, from the previous week’s revised figure of 232,000 (-1,000 claims).

The four-week moving average of jobless claims also dropped by 5,750 to 235,500, compared to the previous week’s revised average of 241,250 (-250).

These figures reflected the continued resilience of the US labor market, especially following last month’s pullback in the unemployment rate to 4.1% and a better-than-expected hike in job creation of 147,000. However, the gains were concentrated in certain sectors.