Business

US jobless aid requests in sharp drop

The decline in jobless claims nearly reversed an increase over the previous three weeks.
Lucas Jackson/Reuters/File 2011
The decline in jobless claims nearly reversed an increase over the previous three weeks.

The number of Americans seeking unemployment benefits fell sharply last week to a seasonally adjusted 346,000, signaling that the job market might be stronger than March’s weak month of hiring suggested.

Applications for unemployment aid dropped by 42,000 last week, the Labor Department said Thursday. The decline nearly reversed an increase over the previous three weeks. The four-week average rose 3,000 to 358,000.

The number of unemployment applications has been volatile in the past two weeks largely because of the Easter holiday, a department spokesman said.

Advertisement

The timing of the holiday changes from year to year. That makes it hard to adjust for school holidays and other changes that can cause temporary layoffs.

Get Talking Points in your inbox:
An afternoon recap of the day’s most important business news, delivered weekdays.
Thank you for signing up! Sign up for more newsletters here

Applications had risen two weeks ago to 388,000, the highest level in four months. That spike ‘‘appears to have been a false alarm,’’ Jim O’Sullivan, chief US economist at High Frequency Economics, said in a note to clients.

Employers added only 88,000 jobs in March, the government said last week. That followed four months in which job growth averaged 220,000. Last week’s drop in applications for unemployment aid could signal that hiring is picking up in April.

Associated Press