Economists polled by Reuters had forecast 200,000 applications for the latest week. Claims have declined from a record high of 6.149 million in early April of 2020.
Aside from the year-end volatility in claims, the labour market is strengthening. The Federal Reserve acknowledged this on Wednesday when it announced that would end its pandemic-era bond purchases in March and pave the way for three quarter-percentage-point interest rate increases by the end of 2022. Fed Chair Jerome Powell told reporters the economy was “making rapid progress toward maximum employment.
Indeed Hiring Lab’s job search survey on Wednesday showed the share of the population actively looking for paid work rose two percentage points to 29.1 per cent in November from the prior month.
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