First-time claims for unemployment benefits are scraping the lowest levels they’ve seen since the dot-com boom.
Initial claims for unemployment insurance fell to 264,000 for the week ending May 9, the Department of Labor reported Thursday. That number, which is adjusted for seasonal fluctuations, was better than expected and slightly below last week’s already low level of 265,000.
The four week moving average of initial claims also fell, to 271,750. That is the lowest such average since April of 2000.
Fewer applications for unemployment benefits and fewer layoffs are viewed as a positive sign for the jobs outlook.
The U.S. economy added 223,000 jobs in April, the Bureau of Labor Statistics reported on Friday. That job growth was just shy of what investors expected but enough to assuage fears that the labor market might be deteriorating in 2015. March only saw 85,000 new payroll jobs.
While layoffs have slowed in recent weeks, as measured by unemployment claims, hiring has not picked up by as much. Monthly hires have hovered around 5 million through early 2015, according to gross hiring data released by the Labor Department Tuesday. Hiring closer to 5.2 million or as high as 5.4 million was closer to the norm prior to the financial crisis.
Federal unemployment benefits are available for up to 26 weeks. Altogether, there were 2.25 million people receiving benefits through April 25, down from 2.7 million a year before.
