Jobless claims jumped to their highest level since February, according to the Department of Labor’s weekly report…(DOL)
- Seasonally adjusted initial jobless claims were 229,000, an increase of 27,000 from the previous week’s revised level for the week ending June 4th.
- Economists had projected a smaller increase to 210k.
NOTE: This was the highest level since February 19th and was the biggest total increase since January 15th.
The increase in claims was thanks to Georgia which saw a 1,817 jump in claims followed by Florida (+1,695) and Pennsylvania (+1,089).
- On the flip side, Michigan saw a drop of 2,078 claims followed by Mississippi (-1,825) and Oklahoma (-880)
Continuing claims were unchanged from the previous week however the 4-week moving average hit a 40-year low…
- Seasonally adjusted insured unemployment during the week ending May 28 was 1,306,000, unchanged from the previous week’s revised level.
- The 4-week moving average was 1,317,500, a decrease of 9,000 from the previous week’s revised average. This is the lowest level for this average since January 10, 1970
A historically tight labor market can really only move in one direction. Jobless claims are still at historically low levels but as the economy slows rising claims will give us a good idea of the direction of the economy.