Initial claims for state unemployment benefits rose 11,000 to a seasonally adjusted 239,000 for the week ended April 8. Economists polled by Reuters had forecast 232,000 claims for the latest week.
Claims however remain below the 270,000 level, a breach of which economists say would signal a deterioration in the labor market. Last There are no signs yet that a tightening in credit conditions following the failure of two regional banks last month has led to job losses. Economists expect small businesses like restaurants, bars and nail salons would be affected by a credit crunch.
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