New claims for unemployment benefits tumbled by much more than expected to 787,000 in the week ended October 17, the Department of Labor said Thursday.
The previous week’s level was revised down by 56,000 from 898,000 to 842,000. That means that last week’s figure, which was initially reported as a surprise jump in claims, was actually a decline of 2,000.
This suggests the economy-and the labor market in particular-has been stronger than previously thought.
The initial claims number is the lowest since March. Economists had expected around 865,000 new claims. The low range of estimates was 800,000. Read more…