Jobless Claims: New Claims Decline Modestly

Bottom Line: Initial claims declined modestly, more than market expectations. The 4-week average is at 267k, below the 13-week average that is now 269k, indicating the labor market trends are still improving modestly. Jobless Claims FELL by 9k during the week ended April 2nd to 267k, compared with market expectations for a decrease to 270k. The 4-week average ROSE by 4k to 267k and the 13 week average FELL by 1k to 269k. Initial claims have been on a declining trend over the past 6 years but the pace of decline has now slowed. Continuing Claims ROSE by 19k during the week ended March 26th to 2,191k, after the prior week was revised slightly lower from 2,173k to 2,172k. The 4-week average FELL by 2k to 2,189k. Despite this week's increase, continuing claims have also been on a declining trend for more than 5 years. On a non-seasonally adjusted basis, Continuing Claims FELL by 32k to 2,377k during the week ended March 19th. Continuing claims have been declining amid modest volatility for the past six years. The Insured Jobless Rate STAYED at 1.6% during the week ended March 26th. The insured jobless rate only reflects the number of people collecting regular state unemployment insurance.