Jobless claims rise 12K, but it's good news for the labor market

Jobless claims rose less than expected last week, suggesting an acceleration in job growth in September. Jobless claims  increased 12,000 to a seasonally adjusted 293,000 for the week ended Sept. 20, the Labor Department said on Thursday. 

|
LM Otero/AP/File
Job seekers sign in before meeting prospective employers during a career fair at a hotel in Dallas. The number of people filing jobless claims rose less than expected last week, according to the Labor Department.

The number of Americans filing new claims for unemployment benefits rose less than expected last week, suggesting an acceleration in job growth in September.

Initial claims for state unemployment benefits increased 12,000 to a seasonally adjusted 293,000 for the week ended Sept. 20, the Labor Department said on Thursday. Claims for the prior week were revised to show 1,000 more applications received than previously reported.

Economists polled by Reuters had forecast claims rising to 300,000 last week.

The four-week moving average of claims, considered a better measure of labor market trends as it irons out week-to-week volatility, fell 1,250 to 293,500.

A Labor Department analyst said there were no special factors influencing the state level data. Claims are hovering near their pre-recession levels, an indication that labor market conditions are tightening despite August's sharp slowdown in job growth.

The jobless claims report showed the number of people still receiving benefits after an initial week of aid edged up 7,000 to 2.44 million in the week ended Sept. 13.

The data for the so-called continuing claims covered the household survey week from which the unemployment rate for September will be calculated.

Continuing claims fell 89,000 between the August and September survey weeks, suggesting some improvement in the unemployment rate. The jobless rate was at 6.1 percent in August.

Orders for long-lasting U.S. manufactured goods in August posted their biggest drop on record as the prior boost from aircraft unwound, but a rebound in business spending plans pointed to underlying strength in the manufacturing sector.

The Commerce Department said durable goods orders, items ranging from toasters to aircraft that are meant to last three years or more, dropped 18.2 percent, the largest decline since the series started in 1992. That partially reversed July's aircraft-driven 22.5 percent surge.

Economists polled by Reuters had forecast durable goods orders falling 18 percent last month after a previously reported 22.6 percent jump in July.

Orders for the volatile transportation category declined 42.0 percent last month as civilian aircraft orders tumbled 74.3 percent. Transportation orders had soared 315.6 percent in July.

Boeing reported on its website that it had received 107 orders last month, a third of July's outsized gains. Orders for automobiles fell 6.4 percent after rising 10.0 percent the prior month.

The underlying trend in new orders, however, is up and further gains are likely in the months ahead.

A survey early this month showed a measure of new orders jumped to a near 10-1/2-year high in August and businesses showed an increased appetite for capital spending.

Manufacturing, one of the pillars of the economy, is being supported by firming domestic demand, which is helping to offset some of the weakness due to slowing growth in the euro zone and China.

Excluding transportation, durable goods orders rose 0.7 percent after falling 0.5 percent in July.

Non-defense capital goods orders excluding aircraft, a closely watched proxy for business spending plans, rose 0.6 percent. The so-called core capital goods orders fell by a revised 0.2 percent in July, which was previously reported as a 0.7 percent decline.

Core capital goods shipments edged up 0.1 percent last month after July's upwardly revised 1.9 percent increase. Shipments of these goods are used to calculate equipment spending in the government's gross domestic product measurement. They were previously reported to have increased 1.5 percent in July.

You've read  of  free articles. Subscribe to continue.
Real news can be honest, hopeful, credible, constructive.
What is the Monitor difference? Tackling the tough headlines – with humanity. Listening to sources – with respect. Seeing the story that others are missing by reporting what so often gets overlooked: the values that connect us. That’s Monitor reporting – news that changes how you see the world.

Dear Reader,

About a year ago, I happened upon this statement about the Monitor in the Harvard Business Review – under the charming heading of “do things that don’t interest you”:

“Many things that end up” being meaningful, writes social scientist Joseph Grenny, “have come from conference workshops, articles, or online videos that began as a chore and ended with an insight. My work in Kenya, for example, was heavily influenced by a Christian Science Monitor article I had forced myself to read 10 years earlier. Sometimes, we call things ‘boring’ simply because they lie outside the box we are currently in.”

If you were to come up with a punchline to a joke about the Monitor, that would probably be it. We’re seen as being global, fair, insightful, and perhaps a bit too earnest. We’re the bran muffin of journalism.

But you know what? We change lives. And I’m going to argue that we change lives precisely because we force open that too-small box that most human beings think they live in.

The Monitor is a peculiar little publication that’s hard for the world to figure out. We’re run by a church, but we’re not only for church members and we’re not about converting people. We’re known as being fair even as the world becomes as polarized as at any time since the newspaper’s founding in 1908.

We have a mission beyond circulation, we want to bridge divides. We’re about kicking down the door of thought everywhere and saying, “You are bigger and more capable than you realize. And we can prove it.”

If you’re looking for bran muffin journalism, you can subscribe to the Monitor for $15. You’ll get the Monitor Weekly magazine, the Monitor Daily email, and unlimited access to CSMonitor.com.

QR Code to Jobless claims rise 12K, but it's good news for the labor market
Read this article in
https://www.csmonitor.com/Business/Latest-News-Wires/2014/0925/Jobless-claims-rise-12K-but-it-s-good-news-for-the-labor-market
QR Code to Subscription page
Start your subscription today
https://www.csmonitor.com/subscribe