First-time claims for unemployment insurance beat Wall Street estimates as the U.S. economy enters a critical new phase.
A total of 660,00,000 filings were filed in the week ended September 301, the labor department reported on Thursday. Economists surveyed by the Dow Jones had earlier in the week expected 75,000,000 against ward.lyly revised.
The numbers represent a modest decline in claims, reaching a peak of ..9 million at the end of March as the economy stalled trying to slow the coronavirus epidemic. Since then, the labor market has improved, although millions of people have been displaced by job losses associated with the virus.
Clashing over claims has had little effect on financial markets, with Wall Street still preparing to open very low.
Claims were over 1 million a week by the end of August Gust. In early September, the Labor Department changed the way it adjusts to seasonal factors to better consider the impact of virus measures on the economy.
The economy will now face new challenges after a summer of strong employment growth. Economists and healthcare professionals worry that a resurgence in Covid-19 cases could stall or reverse the gains the economy has made in the past few months.
The other part of the good news was the steady decline in claims, which fell 916,000 to 12.63 million. The four-week moving average for continuous claims fell to 532,750 from 13.5 million.
Economists worry that the end of government aid to unemployed workers, which would normally benefit them, would add મુશ્કેલી 600 a week to top the job market. However, the pace of claims has been steadily declining, although the total is still significant given the pre-epidemic in the USA.
The total gain, which runs one week behind the number of headline claims, actually increased to 29.77 million in the week ended August 29, according to an unknown number. At the same time, beneficiaries under the Epidemic Unemployment Assistance Program, which is generally open to those who are not eligible, dropped sharply to 658,737 in the current week, down from 209,577.
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