Jobless claims rise as expected

The number of Americans filing for unemployment benefits rose as expected last week, according to data released by the Labor Department.

US initial jobless claims were up 7,000 to 230,000 from the previous week's level, which was revised up by 2,000, in line with economists' expectations.

Meanwhile, the four-week moving average came in at 228,500, up 3,500 from the previous week's level, which was revised up by 500.

The four-week average is considered more reliable as it smooths out sharp fluctuations in the more volatile weekly figures, giving a more accurate picture of the health of the labour market.

The Labor Department said claims-taking procedures in Puerto Rico and in the Virgin Islands have still not returned to normal.

Pantheon Macroeconomics said: "The trend in claims appears to be in the low 230s, so this represents mean reversion after last week’s unexpectedly low reading. Claims are at an all-time low, population-adjusted, while labor demand remains very strong. Payrolls will continue to rise rapidly, provided employers can find the people to hire."