There is no wave of US layoffs: the number of initial jobless claims fell to 197,000, a new low since July

The Zhitong Finance App notes that the number of applicants for unemployment benefits in the US fell slightly last week to the lowest level since July, indicating that the scale of layoffs in the job market is still limited. According to data released by the US Department of Labor on Thursday, the number of first-time jobless claims dropped by 2,000 to 197,000 in the week ending October 3. This is the fourth week in a row that the number of applicants fell below 200,000.

The number of first-time jobless claims in the US fell to its lowest level since July

The number of first-time applicants is still near its lowest level since the 1960s. Combined with the more moderate new non-farm payroll data in September, the sluggish number of applicants indicates that the labor market is in such a state: employers are cautious about expanding recruitment against the backdrop of rising costs, but are still retaining existing employees.

The four-week moving average of first-time applicants, which helped smooth out fluctuations, fell to 198,000 last week, the lowest since September 2022.

Without seasonal adjustments, the number of first-time applicants increased by nearly 12,000 last week, mainly from California, Illinois, and New York.

The number of continuing applicants, which is a proxy indicator of the number of beneficiaries, rose to 1.72 million in the previous week.