Unemployment claims drop 4th time in 5 weeks

WASHINGTON (AP) — Applications for unemployment benefits fell last week for the fourth time in five weeks, a sign that layoffs are declining.

The Labor Department said today that initial claims for jobless aid dropped by 11,000 to a seasonally adjusted 445,000. It's the lowest level since the week ending July 10.

Stock futures rose after the report's release. Wall Street analysts had expected a small increase.

Economists were mildly encouraged by the drop. But they also pointed out that claims remain at an elevated level consistent with weak job growth. Employers aren't hiring enough to bring down the 9.6 percent unemployment rate.

"While it's comforting to see claims grinding lower, the fact is that they remain at levels that suggest continued sub-par job growth," Sal Guatieri, an economist at BMO Capital Markets, wrote in a note to clients.