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US Filings for Jobless Aid, a Proxy for Layoffs, Inch Down Modestly Last Week as Uncertainty Lingers

  • The Labor Department announced that initial claims for unemployment benefits in the U.S. Decreased slightly by two thousand, reaching a total of 227,000 for the seven-day period ending on May 17, 2025.
  • This modest decline occurred amid growing economic uncertainty driven by U.S. Trade policy tensions and a recent 90-day trade war pause with China.
  • The labor market remains robust with 177,000 jobs added in April and a stable 4.2% unemployment rate, though recent corporate layoffs, including Microsoft’s, hint at some weakening.
  • The four-week average of claims rose by 1,000 to 231,500, and 1.9 million Americans received unemployment benefits, reflecting ongoing cautious employer hiring behavior.
  • Fed chair Jerome Powell noted elevated risks of higher unemployment and inflation, complicating policy controls, while economists expect trade war effects to impact jobs later this year.
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US filings for jobless aid, a proxy for layoffs, inch down modestly last week as uncertainty lingers

The number of Americans filing unemployment claims last week fell slightly as businesses continue to retain employees despite growing economic uncertainty over U.S. trade policy.

·United States
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Spectrum News broke the news in United States on Thursday, May 22, 2025.
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