Initial jobless claims are now at the lowest level since December 1973.
Last week, initial claims for unemployment insurance totaled 255,000, less than the 270,000 that was expected and down from the prior week’s 263,000.
This number brought the 4-week moving average of claims down to 265,000, the lowest in over 4 decades.
And so while September’s employment report came in weaker than expected, claims continue to be one of the most consistently impressive economic numbers coming from the US economy.
In a note to clients following the report, however, Neil Dutta at Renaissance Macro said that claims overstate the strength of the labor market but still point towards job gains of around 180,000 per month at current levels.