U.S. Jobless Claims Fall to 7-Year Low; Reading Hits 300,000 as Labor Market Moves Past Winter Chill
WASHINGTON--The number of Americans filing new claims for unemployment benefits fell last week to the lowest level in seven years, a new sign the labor market is rebounding from a winter-related soft spell.</br></br>Initial claims for jobless benefits, a measure of layoffs, fell 32,000 to a seasonally adjusted 300,000 in the week ended April 5. That was the largest decline in claims since late 2012, pushing the overall level down to lows last seen in May 2007. Economists had forecast 320,000 new claims for last week.</br></br>Jobless claims data can be especially volatile at this time of year as the shifting date of the Easter holiday makes seasonal adjustments difficult. The four-week moving average of claims, which aims to smooth out volatility, fell 4,750 to 316,250, its lowest level since September.</br></br>"These data point to a labor market that is picking up steam along with activity as the weather normalizes in the spring," said Barclays economist Dean Maki.</br></br>Jobless claims have been trending lower in recent weeks after economic disruptions caused by unusually harsh weather over the winter months. Job creation slowed early in the winter as consumers postponed shopping trips and businesses put new investments on hold.