US weekly jobless claims rise marginally amid low layoffs

Business Recorder reported that new US applications for state unemployment benefits edged up by 1,000 to a seasonally adjusted 199,000 in the week ending October 10. The Labour Department released the figures on Thursday, and the reading was slightly below the 200,000 that economists polled by Reuters had expected. It was the fifth consecutive week that claims stayed under 200,000, a pattern economists described as a low-hire, low-fire labour market.

The Federal Reserve's Beige Book, released Wednesday, described employment as little changed from late August to early October, while still noting lasting shortages of skilled trade and technical workers. Five districts also said some firms had cut staffing through attrition, slowed hiring or expected weaker job creation after investing in artificial intelligence to raise productivity.

Continuing claims dropped by 4,000 to 1.710 million in the week ending October 3, although that measure leaves out recent graduates and others without a qualifying work history. Economists cite tariffs and price pressures tied to the US-Israeli war with Iran as obstacles for employers hiring, and the median length of unemployment reached 11.5 weeks in September, close to a 4-1/2-year high. The unemployment rate stood at 4.2 percent last month.