US Jobless claims see sixth consecutive week of declines from peak

Claims came in above the consensus estimate of 2.5mln but fell in the week to May 9 from the prior 3.176mln. This was revised higher by 7k from the previous 3.169mln. The four-week moving average fell to 3.616mln, a drop of 557k from the previous week’s average. The number of claims over the past eight weeks totals 36.5mln, roughly 11pct of the US population. That said, this is now the sixth consecutive week of declines from the peak number of 6.9mln at the end of March.


Last week’s non-farm payrolls report showed unemployment hitting a post-war high. Analysts say that continuing claims will stay high as the pace of rehiring will be gradual. However, claims numbers are continuing to recede with more reopenings occurring in the coming months.


Continuing claims rose by 456k but printed well below the expected 25.1mln. The previous reading was revised lower, from 22.647mln to 22.377mln. The four-week moving average spiked by 2.7mln to 19.76mln.