US initial jobless claims fell by 16,000 to a total of 193,000 last week, their lowest level since the week of April 23, according to seasonally adjusted data released today by the US Department of Labor.
The previous week’s level was revised down by 4,000.
In addition, the four-week moving average of jobless claims fell by 8,750 from the previous week to 207,000, its lowest level since the week of May 28.
“With labor still very hard to find, firms probably are holding on to people who under normal conditions would have been laid off,” Ian Shepherdson, chief economist at Pantheon Macroeconomics, told MarketWatch. “At this point, then, the softening of the labor market which the Fed wants appears unlikely to come via rising layoffs.”