US jobless claims plunge to lowest level in 42yrs

© Brian Snyder
The number of US workers filling applications for jobless benefits fell by 26,000 to 255,000 last week, the Labor Department said. It is the lowest level since 1973.

In the previous week the number of claims was unrevised at 281,000 while the 4-week moving average was 278,500, according to the report released Thursday. The average level of claims has been near that mark since early April.

“There were no special factors impacting this week’s initial claims,” it said.
Analysts say that volatility is typical for this time of year as auto plants retool for the new model year and school staff varies with summer holidays.

The Labor Department’s payroll report, issued earlier this month, showed that hiring was strong and payrolls increased by 223,000 in June while the jobless rate fell to a seven-year low of 5.3 percent.

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