The number of Americans filing for first-time unemployment benefits rose slightly last week, but the figure remains at a historically low level.
Initial jobless claims, a proxy for layoffs across the U.S., increased by 3,000 to a seasonally adjusted 259,000 in the week ended Oct. 17, the Labor Department said Thursday.
Economists surveyed by The Wall Street Journal had expected 265,000 new claims last week.
The four-week moving average of claims, which evens out weekly ups and downs, fell by 2,000 to 263,250 last week. That was the lowest average level since December 1973.
The latest data coincide with the week the Labor Department conducts surveys for the October employment report. “We think the claims data associated with that week point to October being a solid month for payroll growth,” J.P. Morgan Chase economist Daniel Silver said.
Claims for the Oct. 10 week were raised by 1,000 to 256,000, just above the 42-year low touched in July.
Weekly claims levels generally have been falling since 2009 and have held near a four-decade low since the summer. That suggests employers are reluctant to lay off workers, a sign the labor market is tightening.
Fewer layoffs typically coincide with stronger hiring, but in recent months job gains have slowed from the brisk pace recorded most of last year and the first half of this year. Employers added 142,000 jobs in September and 136,000 in August, after adding more than 200,000 jobs in the previous 18 months.
