New claims for US unemployment insurance benefits fell last week but the decline was much smaller than expected as the sick labor market struggles to recover, official data showed Thursday.
Initial jobless claims dropped to a seasonally adjusted 403,000 in the week ending April 16, down 13,000 from the prior week’s revised number of 416,000, the Labor Department said.
The average analyst estimate was for new claims to return to the under-400,000 level — falling to 390,000 — after an unexpected jump in the previous week.
However, a broader indicator showed the overall trend remained below the 400,000 threshold.
The four-week moving average, which helps to even out week-to-week volatility, held below that level for the eighth consecutive week, although it rose by 2,250 new claims to 399,000.
The insured unemployment rate was 2.9 percent for the week ending April 9, unchanged from the prior week.
The weekly claims data still pointed to a gradual improvement in the depressed jobs market, where 13.5 million people are out of work.
In March the unemployment rate ticked down to 8.8 percent from 8.9 percent in February, thanks to strong job creation in the private sector.
The economy added 216,000 nonfarm jobs, an increase of 11 percent from February and the sixth consecutive month of overall job gains.
Washington, April 21, 2011 (AFP)
