Summary
Last week, the number of people in the U.S. applying for unemployment benefits went down, staying at a healthy level. The Labor Department reported that jobless claims dropped by 10,000 to 214,000, which is lower than expected. Despite this, the U.S. job market shows some signs of slowing down.
Key Facts
- Unemployment claims dropped to 214,000 for the week ending December 20.
- Analysts had predicted 232,000 new jobless applications.
- Job market health is tracked through unemployment claims, which act as a proxy for layoffs.
- The U.S. gained 64,000 jobs in November but lost 105,000 jobs in October.
- The unemployment rate increased to 4.6%, the highest since 2021.
- Federal job losses were significant due to workers leaving after budget cuts.
- Job creation has slowed, now averaging 35,000 jobs per month since March.
- The Federal Reserve recently cut interest rates due to concerns about job market weakness.
