Continuing Claims Jump 125k to a New 5-Year High

Initial jobless claims held steady at 445k, versus the prior weeks revised higher level of 451k from 444k. The less volatile 4-week moving average held steady at 440k. This compares to a year-to-date average of 380k, and a 2007 average of 321k. Continuing claims continued to climb, as expected, but rose more than anticipated to 3.525M, from a revised lower level of 3.403M. So, a net increase of around 125k in one week to a new 5-year high. The unemployment rate for those eligible for jobless benefits rose to 2.6%, from 2.5% the prior week, as the economy continues to shed jobs.