Initial jobless claims decline

MarketWatch

WASHINGTON

The number of workers who filed new claims for unemployment benefits fell 24,000 last week to 435,000, continuing a recent see-saw pattern that’s given mixed signals about the U.S. labor market.

The four-week average of initial claims, however, sank to its lowest level in two years — down 10,000 to 446,500. The moving average smoothes out quirks in the weekly data and is considered a more- accurate gauge of employment trends.

Jobless claims plunged in 2009 as the economy exited recession, but they have been stuck in 450,000 range through the first 10 months of this year in a reflection of weak hiring trends. Economists believe weekly claims have to move toward 400,000 to indicate that hiring is on the upswing, or at least that layoffs are slowing.

Economists polled by MarketWatch had expected initial claims to fall to a seasonally adjusted 450,000 in the week ended Saturday. Claims in 2010 have ranged from a high of 504,000 to a low of 427,000, according to Labor Department data.

Other employment data also have shown positive signs. The economy, for example, added 151,000 jobs in October, double market expectations, in the strongest showing since April.

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