Initial claims for regular state unemployment benefits in the United States fell to a seasonally adjusted 384,000 for the week ended October 5th, from a revised 424,000 the previous week, the Labor Department announced.
This is the largest weekly decline in jobless claims since the week ended April 6th. Claims are at their lowest level since the week ended August 3rd.
This is the first time claims have fallen below the key 400,000 level in six weeks.
The decline in claims was much larger than expected. A consensus forecast of Wall Street economists called for jobless claims to fall by 4,000 to 413,000 in the week ended October 5th.
The large decline reflected technical factors related to seasonal adjustment calculations.
On an unadjusted basis, jobless claims rose 41,556 to 360,690 for the week. But the seasonal adjustment factors had expected an even larger increase, according to a Labor Department spokesman.
PA