US unemployment claims dip in latest week

The number of people filing for unemployment in the States dipped last week.

Initial unemployment claims retreated by 4,000 to 264,000 over the week ending on 4 June, according to the Department of Labor.

The figures marked the 66th consecutive week during which they had remained below that level – the longest such streak since 1973.

Analysts had been anticipating a reading of 270,000.

The four-week moving average fell by 7,500 to 269,500.

Secondary unemployment claims, those which are not filed for the first time and referencing the week to 28 May, decreased by 77,000 to 2,095,000.

No special factors impacted the data, the DoL said.

"These data appear comforting in the light of the slowing in payrolls, but claims often are a not a reliable guide to employment in the early stage of a downturn, because the first thing firms do when demand falters is slow the pace of hiring, rather than start firing. Accordingly, right now we are more interested in hiring indicators than claims," said Ian Shepherdson, chief economist at Pantheon Macroeconomics.