US jobless claims beat expectations

The number of people filing for first-time unemployment benefits in the United States increased to 218,000 in the week ending December 23, exceeding market expectations. The U.S. Department of Labor announced the weekly data on unemployment benefits applications. Accordingly, the number of people filing for first-time unemployment benefits in the country increased by 12,000 in the week ending December 23 compared to the previous week, reaching 218,000. Applications for unemployment benefits, which exceeded market expectations, were expected to be 210,000. The previous week’s data on unemployment benefits was revised from 205,000 to 206,000. As of last week, the four-week average number of unemployment benefits applications decreased by 250 compared to the previous week, falling to 212,000. The number of ongoing unemployment benefits applications increased by 14,000 in the week ending December 16, reaching 1,875,000. Analysts said the increase in jobless claims signals a softening in the labor market and is in line with growing expectations that the U.S. Federal Reserve will begin cutting interest rates in the first quarter of 2024.