Initial jobless claims in the US fell by 4,000 from the previous week to 217,000 in the third week of July, well under market expectations that they would increase to 227,000.
It was the sixth consecutive decline in initial claims to the lowest since April, extending the period of relative robustness in the US labor market following brief alarms earlier in the year.
On the other hand, outstanding claims inched higher to 1,955,000 in the earlier week, marginally below market expectations but remaining at the second highest reading since November of 2021, reflecting a slowdown in the hiring momentum despite low unemployment.
Initial claims filed by federal government employees, which have been under scrutiny following recent dismissals by the Department of Government Efficiency (DOGE), jumped by 193 to 789, the highest in four months.
source: U.S. Department of Labor
