U.S. Weekly Jobless Claims Rise to 219,000, Indicate Resilient Labor Market

Jobless claims in the U.S. rose by 5,000 to 219,000 last week, slightly above expectations, but layoffs remain historically low, indicating a resilient labor market. The four-week moving average also decreased to 215,250, suggesting stability despite the uptick in claims. Continuing unemployment claims rose to 1.87 million, still well below pre-pandemic levels. Meanwhile, the Philadelphia Fed's manufacturing survey showed a decline in general activity, with the index dropping to 18.1, although still indicating expansion. Firms reported rising input costs, with inflationary pressures posing challenges for the Federal Reserve's rate cut plans. Overall, while the labor market exhibits strength, the mixed economic signals point to potential volatility in financial markets ahead.