By Kevin Kastner and Ian McKendry

WASHINGTON (MNI) – Initial claims for U.S. state unemployment
benefits fell 9,000 to 397,000 in the October 29 week, below
expectations, the Labor Department reported Thursday.

A Labor Department analyst said there were no special factors in
the current week, and that two states were estimated, Connecticut and
Oklahoma. Both of these states submitted some data later in the week
that showed that the Labor Department’s estimates for those two states
used in this week’s report were very accurate.

The analyst said seasonal factors had expected a decline of about
0.5%, or about 2,000, in unadjusted claims. The actual drop was 10,433
to 366,923 in the current week. Unadjusted claims were at a level of
421,097 in the comparable week a year earlier.

Economists surveyed by Market News International had expected
initial claims to come in at 401,000, down 1,000 from the previously
reported level of 402,000 in the October 22 week. That week’s claims
were revised up to a level of 406,000.

The initial claims seasonally adjusted 4-week moving average was
404,500 in the October 29 week, a decline of 2,000 from the previous
week.

The state data released for the October 22 week indicated
unadjusted initial claims increased in 36 states and declined in 17
states. The District of Columbia, Puerto Rico, and Virgin Islands are
included in this data.

In the October 22 employment survey week, continuing claims fell by
15,000 to 3,683,000 after seasonal adjustment, the lowest level since
the April 16, 2011 week, when the level stood at 3,659,000. Unadjusted
continuing claims fell 16,241 to 3,178,790.

The seasonally adjusted insured unemployment rate held steady at
2.9% in the October 22 week, well below the 3.5% rate in the comparable
week 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 the level of unadjusted Emergency
Unemployment Compensation benefits claims rose 23,705 in the October 15
week, bringing that category to 2,945,642. Extended benefits claims rose
by 15,587 to 540,443, not seasonally adjusted in the same week.

The Labor Department reported that a total of 6,781,960 persons
claimed unemployment benefits in the October 15 week, a rise of 103,117
from the previous week, but still well below the 8,916,522 persons in
the comparable week a year ago. These data are not seasonally adjusted,
and include regular state claims, federal employee claims, new veterans
claims, the EUC and extended benefits programs, state additional
benefits, and STC/Workshare claims.

** Market News International Washington Bureau: 202-371-2121 **

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