Initial jobless claims have fallen to their lowest level since 1969, the White House said in a Thursday (July 23) post on X, sharing a link to a Bloomberg article.
There were 187,000 initial claims during the week ended Friday (July 18), a figure that was 22,000 lower than the previous week’s revised figure, the Department of Labor (DOL) said in a Thursday press release. The previous week’s level was revised up by 1,000 to 209,000.
The four-week moving average of 207,500 was 7,250 lower than the previous week’s revised average. The previous week’s average was revised up by 500 to 214,750.
According to the Bloomberg report shared in the White House’s post, the level of initial claims was the lowest since 1969 and was one of just a few times in recent years where the level dropped below 200,000.
Eliza Winger of Bloomberg Economics said in the report: “Overall, the data continue to reinforce signs of limited layoffs ahead of the July 28-29 FOMC meeting. Elevated corporate profit margins are allowing firms to reinvest while retaining workers, leaving the Federal Reserve focused on the inflation side of its dual mandate.”
Reuters reported Thursday that the decline in initial claims was the largest in three months and that it brought the total number to the lowest level since September 1969.
The report attributed the historically low level to a restrained supply of available workers, a muted pace of job creation and a limited number of layoffs.
The DOL also reported Thursday that during the week ended July 11, the insured unemployment rate was 1.2%, which was unchanged from the previous week.
The insured unemployment number for that week was 1,796,000, which was 2,000 lower than the previous week’s revised level. The previous week’s level was revised down by 7,000 to 1,798,000.
The four-week moving average of 1,805,250 was 4,000 lower than the previous week’s revised average. The previous week’s average was revised down by 1,750 to 1,809,250.
The states with the greatest decreases in initial claims during the week ended July 11 were New Jersey and Missouri. Each state had more than 5,000 fewer claims than it had the previous week.
In comments submitted to the DOL and included in the Thursday press release, Missouri attributed the decrease to fewer layoffs in the manufacturing industry and the transportation and warehousing industry.
New Jersey did not supply comments to the DOL.
The state with the greatest increase in initial claims during the week ended July 11 was New York, with 12,580 more claims. The state attributed the rise to layoffs in three industries: transportation and warehousing, healthcare and social assistance, and educational services.
Michigan had the second-highest increase, with 3,143 more claims, and attributed the increase to layoffs in the manufacturing industry.
