FX.co ★ US Jobless Claims Fall Sharply

Jobless claims in the United States experienced a decline of 10,000, reaching 214,000 for the week ending December 20th. This reduction comes during a time traditionally marked by fluctuations due to the holiday season, and it surpassed the anticipated figure of 223,000. This marks the lowest level since January, aside from a sharp dip to 192,000 during the Thanksgiving week, which also sees seasonal volatility. In contrast, the number of continuing claims increased for the second consecutive week, reaching 1.92 million in the prior week. This suggests that the US labor market remains stable amidst trends of both low hiring and low firing. Additionally, the initial unemployment claims filed by federal employees, an area of recent concern due to the government shutdown, decreased by 1,091 from the previous week, settling at a three-week low of 805.