First Time Jobless Claims Drop 9K

Jobless claims are holding at record lows, pointing to a lack of layoffs and ongoing strength for the nation's labor market. Initial claims fell 9,000 in the April 2 week to a slightly lower-than-expected 267,000. The 4-week average, up 3,500 to 266,750, is trending only slightly higher compared to three weeks of 259,000 levels earlier in March.

Continuing claims, where reporting lags by a week, rose 19,000 to 2.191 million in the March 26 week though the 4-week average is down slightly to 2.189 million. This average compares favorable with the month-ago comparison showing a sizable decrease of nearly 40,000. The unemployment rate for insured workers remains very low at a 1.6 percent.

There are no special factors in today's report though data for Louisiana, where the labor office has been having computer problems, was once again estimated. Labor is in short supply and employers are holding onto their workers tightly.

Recent History Of This Indicator:
Initial jobless claims have inched higher the last several of weeks but are still holding near record lows. In a definite plus, continuing claims have been inching lower and are at record lows. Low levels of unemployment claims point to healthy demand for labor. Forecasters see initial claims slipping 4,000 in the April 2 week to 272,000.