US jobless claims continue to trend lower

Initial jobless claims fell 13k, to 263k, in the week ending October 3, coming in below forecast  (275k) and consensus expectations (274k). Prior-week initial claims were revised up just 1k, to 276k; however, the better-than-expected initial claims print this morning led the four-week moving average lower (268k, previous: 271k).

Continuing unemployment claims for the week ending September 26 were in line with expectations at 2.204m (previous: 2.195mn), and the four-week moving average declined modestly, to 2.222mn (previous: 2.236mn). Low continuing claims kept the insured unemployment rate unchanged on the week at 1.6%.

"The Labor Department noted no special factors in this week's report, but did acknowledge that claims were estimated for South Carolina and Nevada. Despite the recent softening in payroll growth, this morning's data confirm that the separations side of US labor markets remains quite healthy", says Barclays.