US jobless claims rise a tad more than expected during latest week

The US labour market eased a bit more during the previous week.

According to the US Department of Labor, in seasonally adjusted terms, initial unemployment claims rose by 11,000 over the week ending on 8 April to reach 239,000.

Economists polled by Dow Jones Newswires had forecast an increase from the prior week's preliminary estimate of 228,000 to 235,000.

The four-week moving average of first time claims increased by 2,250 to reach 240,000.

Secondary unemployment claims, or those not being filed for the first time and referencing the week ended on 1 April, dipped by 13,000 to reach 1.81m.

Kieran Clancy, senior US economist at Pantheon Macroeconomics, said that a "strong" upwards trend was emerging in the claims numbers following the usual volatility related to the timing of Easter.

"Total layoffs announced in the first quarter were the highest since 2005 [according to consultancy group Challenger], excluding the initial Covid hit and the financial crisis," he said.

"Jobless claims lag layoff announcements, so we expect a further rise in claims over the next few months, helping to drive payroll growth to zero by mid-year."

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