THE ECONOMY

U.S. Jobless Claims Drop: The decline was the biggest in three months and clouded the degree to which the economy may be slowing. Bond prices fell slightly after the report, which renewed worries that signs of economic strength could result in higher interest rates, thereby eroding the value of fixed investments. The weakness extended to stocks, which also fell. applications for unemployment insurance fell to a seasonally adjusted 320,000 last week, the lowest since 317,000 in the week ended Aug. 31, the Labor Department reported. The 22,000 drop was the steepest since a 27,000 plunge for the week ended July 27.