New claims for unemployment benefits fell
to a three-month low last week, a strong sign despite the recent harsh winter
weather that has hurt the labor market. Initial claims for unemployment benefits dropped by 26,000
to 323,000, the Labor Department reported on Thursday.
The
number of claims was the lowest since the end of November and the drop more
than unwound the prior week's rise. The four-week moving
average for new claims, considered a better measure of underlying labor market
conditions as it irons out week-to-week volatility, slipped 2,000 to 336,500.
The claims data has no bearing on Friday's employment
report for February as it falls outside the reference period for the survey.
While unseasonably cold weather has dampened hiring in recent months, the drop
in new filings for jobless benefits suggests labor market fundamentals remain
strong.
The claims report
showed the number of people still receiving benefits after an initial week of
aid fell 8,000 to 2.91 million in the week ended February 22. That was the
lowest level since December.
The so-called
continuing claims have been stuck at higher levels in recent weeks, with
economists saying the cold weather was preventing some recipients from going
out to search for work and causing companies to delay hiring.
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