Initial claims for state unemployment benefits declined 5,000 to a seasonally adjusted 249,000 for the week ended Oct. 1, the Labor Department said on Thursday. The four-week moving average of new claims, seen as a better measure of labor market trends as it smoothes out volatility, fell 2,500 to 253,500 last week, the lowest level since December 1973. It's the 83rd consecutive week claims have remained below 300,000, which is seen as indicative of a strong labor market. Jobs growth has been slowing but is still well above the threshold needed to absorb new entrants into the labor market. The US Federal Reserve has said it is inclined to raise rates by the end of the year should the labor market and inflation continue to strengthen.

Source: The Edge Markets October 06, 2016 13:07 UTC