Applications for jobless benefits decline last week - Albuquerque Journal

Applications for jobless benefits decline last week

WASHINGTON (AP) — The number of Americans applying for unemployment benefits came back down last week, hovering near levels suggesting the U.S. labor market has been largely unaffected by the Federal Reserve’s aggressive interest rate hikes.

Applications for jobless aid fell to 225,000 for the week ending Nov. 26, a decline of 16,000 from the previous week’s 241,000, the Labor Department reported Thursday. The four-week moving average of claims, which evens out week-to-week swings, inched up by 1,750 to 227,000.

Applications for unemployment benefits are a proxy for layoffs, and viewed with other employment data, shows that American workers are enjoying extraordinary job security at the moment, despite an economy with some glaring weaknesses.

To combat inflation that hit four-decade highs earlier this year, the Federal Reserve has raised its benchmark interest rate six times since March. The housing market has buckled under the strain of mortgage rates that have more than doubled from a year ago. Many economists expect the United States to slip into a recession next year with more Fed rate hikes expected to increase borrowing costs and slow economic activity.

Early this month, the Fed raised its short-term lending rate by another 0.75 percentage points, three times its usual margin, for a fourth time this year. Its key rate now stands in a range of 3.75% to 4%, the highest in 15 years.

On Wednesday, Fed Chair Jerome Powell said the central bank would push interest rates higher than previously expected and keep them there for an extended period until inflation was under control. Powell did add that the size and pace of those increases could be scaled back from the jumbo three-quarters of a point increases the Fed made at its last four meetings.

In spite of persistent inflation and rapidly rising interest rates, U.S. employers added 261,000 jobs last month and are creating an average of nearly 407,000 a month this year. That pace would make 2022 the second-best year for hiring — after 2021 — in government records going back to 1940. There are nearly two job openings for every unemployed American. The unemployment rate is 3.7%, a couple of ticks above a half-century low.

The government issues its November jobs report on Friday.

New weekly applications for unemployment benefits have been extremely low early this year — staying below 200,000 for much of February, March and April. They began to tick up in late spring and hit 261,000 in mid-July before trending lower again.

The Labor Department said Thursday that 1.61 million people were receiving jobless aid the week that ended Nov. 19, up 57,000 from the week before.

The tech and real estate sectors have been outliers in an otherwise robust employment market, with Facebook, Twitter, Amazon, DoorDash, Redfin and Compass all announcing significant layoffs in recent months.

Home » Business » Careers/Jobs » Applications for jobless benefits decline last week

Insert Question Legislature form in Legis only stories




Albuquerque Journal and its reporters are committed to telling the stories of our community.

• Do you have a question you want someone to try to answer for you? Do you have a bright spot you want to share?
   We want to hear from you. Please email yourstory@abqjournal.com

taboola desktop

ABQjournal can get you answers in all pages

 

Questions about the Legislature?
Albuquerque Journal can get you answers
Email addresses are used solely for verification and to speed the verification process for repeat questioners.
1
David Scrase to step down as Human Services Department ...
ABQnews Seeker
Physician emerged as the face of ... Physician emerged as the face of NM's response to the COVID-19 pandemic
2
NM lawmakers weigh job candidate secrecy
ABQnews Seeker
Spending transparency, lobbying disclosure measures move ... Spending transparency, lobbying disclosure measures move forward
3
France: Over 1 million march against raising retirement age
Careers/Jobs
PARIS (AP) -- At least 1.1 ... PARIS (AP) -- At least 1.1 million people protested on the streets of Paris and other French cities Thursday amid nationwide strikes against plans ...
4
Top leadership changes at Balloon Fiesta
ABQnews Seeker
Paul Smith, who has served as ... Paul Smith, who has served as executive director of the Albuquerque International Balloon Fiesta for 26 years, will retire at the end of the ...
5
A new job opportunity where 'something about it feels ...
Business
Three factors are in the decision: ... Three factors are in the decision: pay, benefits and future references, and let’s add the future of your career
6
Nurses at 2 NYC hospitals return to work as ...
Careers/Jobs
NEW YORK (AP) -- Thousands of ... NEW YORK (AP) -- Thousands of nurses at two New York City hospitals ended a three-day strike Thursday after reaching a tentative contract agreement ...
7
Cooler hiring and milder pay gains could aid inflation ...
Careers/Jobs
WASHINGTON (AP) -- America's employers added ... WASHINGTON (AP) -- America's employers added a solid 223,000 jobs in December, evidence that the economy remains healthy even as the Federal Reserve is ...
8
Amazon, Salesforce jettison jobs in latest tech worker purge
Careers/Jobs
E-commerce giant Amazon and business software ... E-commerce giant Amazon and business software maker Salesforce are the latest U.S. technology companies to announce major job cuts as they prune payrolls that ...
9
Bregman plans to prosecute cases himself
ABQnews Seeker
New DA holds first news conference New DA holds first news conference