U.S. states saw the fewest new unemployment claims since March 2020 last week, with initial filings down for a sixth straight week as economic activity picked up further.
The Department of Labor released its weekly report on new jobless claims on Thursday and here are the main metrics from the report compared to consensus data compiled by Bloomberg:
Initial jobless claims, week ended June 5: 376,000 vs. 370,000 expected, and an unrevised 385,000 last week.
Continuing claims, week ended May 22: 3.5 million vs. 3.7 million expected, and a revised 3.8 million last week.
New filings came in below the psychologically important level of 400,000 for a back-to-back week and came ever-closer to their pre-pandemic average of just over 200,000 per week. Jobless claims have also set new pandemic-era lows for each of the past five consecutive weeks, trending lower in tandem with rising labor demand during the recovery.
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Despite the drop in headline new unemployment claims, the total number of individuals still claiming unemployment benefits has remained elevated, exacerbating concerns over widespread labor shortages.
The Bureau of Labor Statistics said earlier this week that job openings in April surged to a record high of more than 9 million. A separate survey found that a record share of small business owners reported being unable to fill open positions in May. During the week ended May 22, the number of Americans claiming benefits across all unemployment programs totaled 15.3 million, dipping by fewer than 100,000 from the prior week.
