Jobless Claims in U.S. Decline to Lowest Level Since 1969

(Bloomberg) -- Unemployment lines across the U.S. last week were the shortest since December 1969, according to a Labor Department report Thursday that showed an unexpected drop in filings for jobless benefits.

Key Takeaways

The latest tally for jobless-benefit applications coincides with the same week the Labor Department conducts surveys for the monthly jobs report. The drop last week is an encouraging sign that the July employment data will remain robust.

The number of Americans filing for unemployment insurance has been running well below 300,000, a level consistent with a healthy labor market. The claims figures are in sync with other reports showing employers are competing for a limited pool of qualified workers.

The Federal Reserve's Beige Book, released Wednesday, showed momentum is building in the nation's job market. “All districts reported that labor markets were tight and many said that the inability to find workers constrained growth,” it said.

Other Details

• Prior week's reading was revised to 215,000 from 214,000
• Unemployment rate among people eligible for benefits held at 1.2 percent, where it's been since early May
• Maine was the only state that estimated claims last week, according to the Labor Department

--With assistance from Chris Middleton and Sophie Caronello.

To contact the reporter on this story: Shobhana Chandra in Washington at schandra1@bloomberg.net

To contact the editors responsible for this story: Scott Lanman at slanman@bloomberg.net, Vince Golle

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