WASHINGTON — The following are the key points from the weekly unemployment insurance claims data for the Jan. 12 survey week released by the Labor Department Thursday:
The initial claims data fell by 3,000 to 213,000 in the Jan. 12 employment survey week, below expectations for a 218,000 level in an MNI survey. There was no revision in the Jan. 5 week from the previously reported 216,000 level.
Overall, the unexpectedly low reading suggests seasonal adjustment difficulties. However, it will remain to be seen if claims hold at this level. Noise from the holidays will make the true claims trend hard to interpret. Initial claims for federal employees filing in federal programs rose by 5,694 to 10,454 in the Jan. 5 week, compared with 1,148 a year prior. This number could rise in the coming weeks if the government shutdown continues.
The level of initial claims was down 4,000 from the 217,000 level in the Dec. 15 employment survey week, and still represents a tight labor market. The claims data do not directly translate into stronger payrolls gains, but are certainly a positive factor.
The four-week moving average fell by 1,000 to 220,750 this week. The average was down 2,000 from the 222,750 average in the Dec. 15 employment survey week and would be expected to fall further next week as the 221,000 level in the Dec. 22 week rolls out of the equation.
Continuing claims rose by 18,000 to 1.737 million in the Jan. 5 week, while the four-week average rose by 8,000 to 1.729 million. The insured unemployment rate was 1.2%, unchanged from the previous week, but still down from 1.4% in the same week a year ago.
