Jobless claims in U.S. unexpectedly rose last week
The number of Americans filing claims for jobless benefits unexpectedly increased last week, indicating the improvement in the labor market will take time to unfold.
Initial jobless applications increased by 24,000 to 484,000 in the week ended April 10, the highest level since Feb. 20, Labor Department figures showed Thursday. A Labor Department spokesman said the rise in claims was due more to administrative factors reflecting volatility around Easter than economic reasons.
Reluctance among some companies to hire is one of the challenges facing the economy as it recovers from the worst recession since the 1930s. Employment gains are needed to help spur consumer spending, which accounts for about 70 percent of the economy.
Economists forecast claims would fall to 440,000 from a previously reported 460,000 the prior week, according to the median projection in a Bloomberg News survey.
A separate report showed manufacturing in the New York region rose more than anticipated in April. The Federal Reserve Bank of New York’s general economic index increased to 31.9 from 22.9 in March. Readings greater than zero signal growth.
The number of people receiving unemployment insurance increased, while those getting extended benefits also rose, today’s report showed.
The four-week moving average of initial claims, a less volatile measure than the weekly figures, increased to 457,750 last week, from 450,250.
The number of people continuing to receive jobless benefits increased 73,000 in the week ended April 3 to 4.64 million. The continuing claims figure does not include the number of Americans receiving extended benefits under federal programs.
The number of people who’ve used up their traditional benefits and are now collecting emergency and extended payments rose by 162,101 to 5.97 million in the week ended March 27.
The unemployment rate among people eligible for benefits, which tends to track the jobless rate, rose to 3.6 percent in the week ended April 3 from 3.5 percent.
