Weekly jobless claims hit seven-month high; imports post record decline
By Lucia Mutikani
June 5, 202511:45 AM CDTUpdated 5 min ago
Weekly jobless claims increase 8,000 to 247,000
Continuing claims fall 3,000 to 1.904 million
Trade deficit shrinks by a record 55.5% to $61.6 billion
WASHINGTON, June 5 (Reuters) - The number of Americans filing new applications for unemployment benefits increased to a seven-month high last week, pointing to softening labor market conditions amid mounting economic headwinds from tariffs.
The report from the Labor Department on Thursday also continued to show workers losing their jobs having a tough time landing new opportunities as uncertainty caused by President Donald Trump's aggressive trade policy leaves employers reluctant to increase headcount.
The data included the Memorial Day holiday, which economists said could have caused difficulties with the seasonal adjustment and likely contributed to the second straight weekly increase in unemployment claims. Still, they said the report offered some evidence of labor market strains.
"We won't dismiss the rise in claims over the last two weeks, which may be signaling weakening labor market conditions in response to the Trump administration's tariff policies and uncertainty," said Nancy Vanden Houten, lead U.S. economist at Oxford Economics. "However, seasonal quirks might have contributed to the rise in claims."
Initial claims for state unemployment benefits rose 8,000 to a seasonally adjusted 247,000 for the week ended May 31, the highest level since last October. Economists polled by Reuters had forecast 235,000 claims for the latest week.
With the start of the school holidays this month, claims could remain elevated as some states allow non-teaching staff to collect benefits.more
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https://www.reuters.com/world/us/us-weekly-jobless-claims-rise-second-straight-week-2025-06-05/
