Jobless Claims Stuck At Near-Record Levels
WASHINGTON (CBS/AP) — Fewer people applied for unemployment benefits last week, but applications remain stuck at high levels that signal weak job growth.
The Labor Department says the number of people seeking unemployment benefits dropped 6,000 to a seasonally adjusted 422,000. It was the third drop in four weeks. But the declines follow much bigger increases in April.
Jill Schlessinger of CBS MoneyWatch.com told KNX 1070 the readings simply affirm the U.S. economic recovery is not happening as nearly as fast as analysts would hope.
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"The job market and the economy is not coming back as fast as all of us would like," said Schlessinger. "It's not going to feel like a robust economy for a little bit now."
The four-week average, a less volatile measure, fell for the second straight week to 425,500.
That's far above the 375,000 level that is consistent with robust job growth. Applications peaked during the recession at 659,000.
The economy has hit a soft patch after showing strength at the beginning of the year. Many economists expect May's jobs report will show hiring slowed last month. The report will be released on Friday.
(TM and © Copyright 2011 CBS Local Media, a division of CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2011 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
