US weekly jobless claims hit 13-month low as layoffs subside

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US weekly jobless claims hit 13-month low as layoffs subside

On Thursday, US Labour Department said in a statement that the number of Americans filing for first-time state unemployment benefits fell to a 13-month low last week, pointing towards a roaring US labour market with layoffs staying at the bay while bolstering hopes of another month of chart-buster job growth as a ground-breaking re-opening of US economy appeared to have bode well for a US labour market which had been nearly stalled over the first three months of the year.

Nonetheless, other fiscal data released on the day had revealed that US existing home sales tumbled to a seven-month low amid a double whammy of a record price tag alongside a chronic shortage of available houses, suggesting a rumbling US housing market which had anchored the economy during last year’s pandemic outbreak, might have lost steams to thrive further.

However, despite a Newtonian upsurge in job gains coupled with a rapid recovery in a healing US labour market with more than 50 per cent of entire US population having been received at least one shot of the pandemic vaccine, still 17.4 million Americans had collected state unemployment benefits last week, said the labour department.

US weekly jobless claims dive 13-month low

In tandem, according to US Labour Department data released earlier in the day, initial jobless claims fell 39,000 to a seasonally adjusted 547,000 for the week that ended on April 17, the lowest level since mid-March 2020, beating an analysts’ estimate of 617,000 applications for initial jobless claims last week.

Meanwhile, addressing to a broad-based recovery in a pandemic-scarred US labour market, a corporate economist at Navy Federal Credit Union in Vienna, Virginia, Robert Frick said, “We are seeing claims drop across most states, which shows the jobs recovery has become more geographically broad-based.

However, a growing number of Americans are out of work for longer, and it's those who are tougher to bring back into the labor force”.