U.S. Jobless Claims Below 1 Million for First Time in Pandemic

Source: Bloomberg

August 13, 2020 at 10:05

A worker disinfects a bar at a nightclub in Columbia, South Carolina. Photographer: Micah Green/Bloomberg

Continuing claims decrease to lowest level since early April

The number of Americans applying for state unemployment benefits fell below 1 million for the first time since the pandemic began in March, suggesting the economic recovery is gaining some traction amid a deceleration in coronavirus infections.

Initial jobless claims in regular state programs fell by 228,000 to 963,000 in the week ended Aug. 8, Labor Department data showed Thursday. Continuing claims -- the total number of Americans claiming ongoing benefits in state programs -- decreased to 15.5 million in the week ended Aug. 1, the lowest since early April.

U.S. stocks were mixed at the open, a day after the S&P 500 benchmark closed within 0.2% of its all-time high. Economists were expecting initial claims of 1.1 million and continuing claims of 15.8 million, based on median estimates. Both figures remain well above the highs reached during the last economic downturn.

Read More (...)