(LOOTPRESS) – The number of Americans filing for unemployment benefits fell slightly last week to 245,000, the U.S. Department of Labor reported Wednesday.
That figure is down from 250,000 the previous week and remains within the historically low range of 200,000 to 250,000 that has generally indicated a healthy job market since the pandemic recovery began.
However, the four-week average of claims—considered a more stable measure—rose to 245,500, marking the highest level since August 2023.
Continuing claims, which reflect the number of people still receiving unemployment assistance, dropped to 1.95 million for the week ending June 7.
Despite the overall low levels, the recent uptick in claims suggests that the labor market may be losing some momentum.
Employers are averaging 124,000 new hires per month so far in 2025, down from 168,000 in 2024 and significantly below the nearly 400,000 monthly average from 2021 to 2023.
Economists attribute the hiring slowdown in part to the Federal Reserve’s aggressive interest rate hikes in 2022 and 2023.
Additionally, President Trump’s renewed tariffs—10% on imports from nearly every country—have raised concerns among business leaders and consumers, contributing to economic uncertainty and potentially higher prices.
The Fed, which cut rates three times in 2024 amid easing inflation, has since grown more cautious.
With fears that new tariffs could reignite inflation, the central bank is expected to leave interest rates unchanged as it concludes its latest policy meeting Wednesday.
