Initial Jobless Claims Rise 7K, Highest In 6 Months

Up 7,000 to 284,000 in the January 9 week, initial jobless claims haven't been this high since way back in early July. Neither has the 4-week average, up 3,000 to 278,750. There are no special factors behind the rise though seasonal adjustments at the turn of the year can make for volatility.

Continuing claims, in lagging data for the January 2 week, also show pressure, up a sizable 29,000 for a second straight week to a 2.263 million level which is the highest since mid-August. The 4-week average, up 5,000 to 2.224 million, shows its highest reading since mid-September. And the unemployment rate for insured workers is a bit higher, up 1 tenth to what is a still very low 1.7 percent.

Today's numbers all show pressure relative to December and hint at a less strong employment report for January. Next week's data on initial claims, which will cover the sample week of the January employment report, will be closely watched.

Recent History Of This Indicator:
Initial jobless claims fell back to their very favorable trend in the January 2 week, down 10,000 to 277,000 though the 4-week average, at 275,750, is still slightly elevated compared to prior readings. Forecasters see claims edging further lower, down 2,000 in the January 9 week to 275,000.