US Initial Jobless Claims Fall to 4-Month Low

According to Golden Ten Data, U.S. initial jobless claims fell to 218,000, a four-month low. Initial jobless claims have remained low in recent months, despite the rise in the U.S. unemployment rate and a slowdown in job creation. Economists say this is because workers who qualify for such benefits are not unemployed. While weekly layoff claims remain low, several large companies have announced or implemented layoff plans this month. Paramount Worldwide made its second round of layoffs on Tuesday. General Motors announced last week that it would temporarily lay off two-thirds of the workers at a Kansas assembly plant until mid-2025. If layoffs increase in the coming months and more Americans find themselves out of work, Federal Reserve officials may consider cutting interest rates at a faster pace than currently expected.