Initial Jobless Claims Still Near 42 Year Low

Initial claims rose only 1,000 in the October 24 week to a lower-than-expected 260,000 which is just off a 42-year low. The 4-week average continues to make new 42-year lows, down for a seventh week in row to 259,250. Initial claims, already at historic lows, appear to be trending even lower.

Continuing claims are also pointing to significant improvement. A sample-week to sample-week comparison with the September and October employment reports shows a large 100,000 decline in claims, from 2.244 million in the September 12 week to 2.144 million in the October 17 week. A comparison of 4-week averages shows a 77,000 decline to 2.175 million. The unemployment rate for insured workers remains at a very low 1.6 percent.

There are no special factors in the report, one that continues to point to very low levels of unemployment.

Recent History Of This Indicator:
Jobless claims are expected to rise slightly to 265,000 in the October 17 week, holding near a very impressive run of deep lows. For the last six months, claims have been signaling very tight conditions in the labor market and have been signaling even tighter conditions of late.