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Jobless claims inch up to 216,000 but show little sign of labor-market weakness

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New applications for unemployment benefits rose by 2,000 from a revised 214,000 in the prior week, the government said. The new filings remained low and signaled the labor market is still quite strong.

The numbers: The number of Americans who applied for unemployment benefits in the week before Christmas rose slightly to 216,000, but new filings remained low and signaled the labor market is still quite strong.

Economists polled by the Wall Street Journal had forecast new claims would total 220,000 in the seven days ending Dec 17. The figures are seasonally adjusted. The number of people already collecting unemployment benefits, meanwhile, was basically unchanged at 1.67 million. It’s the highest reading since February, but also quite low historically.

Yet the economy could slow and more businesses could start laying off workers, analysts warn, as the Federal Reserve raises interest rates to squash high inflation.

 

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