Unemployment claims to peak in 2022.

Date:

Share post:

[ad_1]

The number of Americans who apply Unemployment benefits It marked a high last week, hitting its highest level in nine months — the latest sign that the historically tight labor market is starting to cool.

Figures released Thursday by the Labor Department showed claims for the week ended Aug. 6 rose to 262,000 from 248,000 a week earlier. This is above 2019’s pre-pandemic average of 218,000 claims and marks the highest level since mid-November.

The number of Americans filing continuous claims, or continuously receiving unemployment benefits, rose slightly to 1.428 million for the week ended July 30, up 8,000 from the previous week’s revised level. A year ago, about 12.96 million Americans were receiving unemployment benefits.

For months, the labor market has been one of the few bright spots in the economy, with the July jobs report showing that the unemployment rate fell to 3.5% — the lowest level since February 2020, before the COVID-19 pandemic shut down the broader U.S. economy. Employers, meanwhile, added an astounding 528,000 jobs, nearly double what economists had expected.

July inflation: Where are the price hikes hitting Americans the hardest?

Jobs fair recruitment

A man presents his resume to an employer at the 25th annual Central Florida Career Council job fair in Central Florida. More than 80 companies were hiring for more than a thousand jobs. (Paul Hennessy/SOPA Images/Lightrocket via Getty Images/Getty Images)

However, there are signs that the job market is starting to weaken, with several companies including Alphabet’s Google, Walmart, Apple, Meta and Microsoft announcing hiring or layoffs.

“An increasing risk to the market’s outlook is the upward trend in the number of individuals claiming unemployment benefits,” said Jeffrey Roach, chief economist at LLL Financial. “Initial claims and ongoing claims have been higher for the past four months and suggest that the labor market will weaken further in the middle of this year.”

Concerns are growing that the U.S. economy is on the brink of — or already is — headed for a recession. The Federal Reserve’s War on Inflation. It rose 8.5% in July – a sharp drop in June but still the biggest cut in decades as the central bank is raising interest rates at its fastest rate in decades as it races to cool consumer prices.

Now hiring signs in Delaware

March 19, 2022 ‘Now Hiring’ signs appear in front of restaurants in Rehoboth Beach, Delaware. (Stephanie Reynolds/AFP via Getty Images)

Click here to read more about FOX BUSINESS

Policy makers approved Another mega-sized, 75-basis-point hike – three times the usual rate – at their meeting in July and signaled they are “nowhere near” to ending this tightening cycle despite signs of a slowdown in the economy since then.

[ad_2]

Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

spot_img

Related articles

Imroz Salam Lokhande A Rising Star in Modeling and Acting

Imroz Salam Lokhande: A Rising Star in Modeling and Acting Name: Imroz Salam Lokhande Nickname: Roz Profession: Actor, Model Height: 5.5 inches Weight: 51 kg (112.43 lbs) Figure Measurements: 36/30/36 Eye...

Ragini Kasturi A Versatile Force in Indian Music 28345

Ragini Kasturi: A Versatile Force in Indian Music In the dynamic landscape of Indian music, few artists can make...

Divya Tyagi Makes Her Playback Singing Debut in “A Morning In Kashmir -8426

Divya Tyagi Makes Her Playback Singing Debut in "A Morning In Kashmir Renowned for her soulful devotional songs and...

New Soundboard Review: Pricing is Not Always the Only Criteria

I actually first read this as alkalizing meaning effecting pH level, and I was like, OK I guess...