Initial jobless claims fell to 215,000 for the week ending May 18, a decrease of 8,000 from the previous week’s revised level, according to the Department of Labor. This marks the second consecutive weekly drop, bringing claims back into the 210,000-220,000 range where they have remained since September.
The trend: Despite a tight labor market, initial jobless claims remain stubbornly low, indicating ongoing strength in employment.
- Continuing claims for the week ending May 11th rose to 1,794,000, up by 8,000 from the previous week’s revised level. This is the highest level in five weeks.
Why it matters: Jobless claims are a key indicator of labor market health. The continued low level of initial claims suggests that layoffs remain rare, even as other economic indicators show signs of cooling.
The bottom line: While other labor market metrics have shown signs of moderation, initial jobless claims continue to reflect a robust employment landscape. This persistence underscores the ongoing challenges in cooling the labor market despite broader economic headwinds.
