US initial jobless claims hit three-week low

New first-time jobless claims fell by 23,000 to 238,000 in the week ended 29 January, according to the Labor Department, for the lowest reading in three weeks and below economists' expectations for a print of 245,000.

The fall comes as demand for labour remained high and the initial impact of Covid-19 Omicron variant somewhat faded during the month.

Continuing claims fell by 44,000 to 1.628m in the week ended 22 January.

However, the four-week moving average, which strips out week-to-week volatility came in at 255,000, its highest reading since mid-November 2021.