Weekly jobless claims in the U.S. dropped by 20,000 to a seasonally adjusted 222,000, signaling continued strength in the labor market. The decline marks the lowest level in over a month, defying concerns of a slowdown. Economists had expected a slight rise, but the numbers suggest hiring remains steady despite high interest rates and inflationary pressures. The four-week average, which smooths out volatility, also ticked downward. Strong employment data may complicate the Federal Reserve’s path to interest rate cuts as it aims to balance cooling inflation with a still-robust job market.
