Weekly Initial Unemployment Claims increase to 234,000

by Bill McBride on 5/25/2017 08:34:00 AM

The DOL reported:

In the week ending May 20, the advance figure for seasonally adjusted initial claims was 234,000, an increase of 1,000 from the previous week’s revised level. The previous week’s level was revised up by 1,000 from 232,000 to 233,000. The 4-week moving average was 235,250, a decrease of 5,750 from the previous week’s revised average. This is the lowest level for this average since April 14, 1973 when it was 232,750. The previous week’s average was revised up by 250 from 240,750 to 241,000.
emphasis added

The previous week was revised up by 1,000.

The following graph shows the 4-week moving average of weekly claims since 1971.

Click on graph for larger image.

The dashed line on the graph is the current 4-week average. The four-week average of weekly unemployment claims decreased to 235,250 – the lowest since 1973.

This was lower than the consensus forecast.

The low level of claims suggests relatively few layoffs.