US jobless claims fall to nearly one-year low

The number of initial jobless claims in the US fell in the week ending Jan. 4, signaling momentum in the labor market of the world’s largest economy.

Data released today, Jan. 8, by the US Labor Department showed that initial claims dropped by 10,000 to 201,000, marking the lowest level in 11 months.

Economists had expected claims to rise to 218,000 from the previous week’s unadjusted reading of 211,000.

Meanwhile, the four-week moving average of jobless claims, seen as a more accurate gauge of labor market performance, fell by 10,250 to 213,000.

This came after the ADP report showed U.S. private-sector job growth lagged expectations in December, just two days before the Labor Department’s monthly jobs report is due on Friday, with forecasts for 155,000 new jobs in December.

The weekly jobless claims report, typically released every Thursday, was issued earlier this week due to the funeral of former U.S. President Jimmy Carter tomorrow.