Jobless claims fall to 214,000 in sign of labor market strength
by Zachary Halaschak, Economics Reporter |
| March 17, 2022 08:31 AM
The number of new applications for unemployment benefits fell by 15,000 last week to 214,000, adding to the good labor market news that has come in recent monthly jobs reports.
The downward trend in jobless claims since the omicron variant peaked in mid-January is a strong sign that employers are becoming increasingly desperate to hold on to workers. Weekly jobless claims are seen as a proxy for layoffs and have been watched closely in recent weeks as the Federal Reserve begins raising interest rates in an effort to curb inflation.
The general trend of declining layoffs is a good economic sign for President Joe Biden, who has been staring down low approval ratings and displeasure with how his administration has handled rising inflation. It also gives the Federal Reserve, which just raised interest rates for the first time in years, confidence in its plan to tighten monetary policy.
"The stability of the job market stands in stark contrast with the high degree of uncertainty the world is facing with the war in Ukraine, high inflation, and the prospect of further supply chain disruptions with China’s efforts to get COVID under control," said Mark Hamrick, a senior economic analyst at Bankrate.
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https://www.washingtonexaminer.com/policy/economy/jobless-claims-fall-to-214-000-in-sign-of-labor-market-strength
