–Continuing Claims Bounce; Post-Holiday Wk Claims Usually Spike
By Denny Gulino and Ian McKendry
WASHINGTON (MNI) – Initial claims for U.S. state unemployment
benefits rose 12,000 to 472,000 in the June 12 week and the previous
week was revised up after seasonal adjustment, not surprising in a
post-holiday week, the U.S. Labor Department Thursday morning.
Meanwhile continuing claims in the June 5 week rose 88,000 to 4.571
million, after the previous week was revised up 21,000. The June 5
week’s continuing claims had initially been reported to have dropped to
a low not seen since the second week of December 2008, but the latest
figures restored continuing claims to trend, and except for the previous
week were the lowest only since late March.
A Labor analyst said only Oklahoma was estimated due to
technical issues. States reported initial claims from manufacturing
industries, construction and educational services, he said.
The reported 472,000 level was well above the Market News
International survey median of 453,000 and yet, the Labor analyst said,
should not have been that much of a surprise. Initial claims usually do
surge in the week following a federal holiday and the seasonal factors
expected an 8.4% rise of 33,000. Instead there was an 11.1% surge of
44,000 but still, the analyst said, in the range of what was to be
The seasonal factors expect a decline in claims in the coming week,
the analyst said, referring only to expectations embedded in past
performance, not what might happen additionally because of economic
The initial claims seasonally adjusted 4-week moving declined 500
to 463,500, the lowest only since the May 29 week.
The seasonally adjusted insured unemployment rate edged back up a
tenth to 3.6% in the June 5 week. It was 4.9% a year earlier.
The unemployment rate among the insured labor force is well below
that reported monthly by the Labor Department because claims are
approved for the most part only for job losers, not the job leavers and
labor force reentrants included in the monthly report.
The Labor Department said that there were 191,103 fewer unadjusted
Emergency Unemployment Compensation benefits claims in the May 29 week,
lowering that category to 4,804,030. Extended benefits claims
rose by 22,133 to 416,513 not seasonally adjusted.
** Market News International Washington Bureau: 202-371-2121 **