Unemployment claims fall

[notiCIas]

Unemployment claims fall

Number of people filing for initial benefits drops following unexpected spike the previous week.

April 7, 2005: 9:25 AM EDT


NEW YORK (CNN/Money) - People filing for initial jobless claims fell last week, the government said Thursday, following the unexpected steep rise the previous week.

The Labor Department reported that 334,000 people filed for unemployment benefits in the week ended April 2, down from a revised 353,000 the previous week. Economists surveyed by Briefing.com had forecast that claims would fall back to 330,000 last week.

The four-week moving average for jobless claims now stands at 336,500, down by only 250 from a week earlier but up 9,000 from the average two weeks ago.

The jobless claims information is closely watched by economists for early readings on the strength of the labor market. This report is getting particular attention due to the weak monthly employment report for March, in which the addition to U.S. payrolls came in at only half the predicted levels.