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U.S. Jobless Claims Tick Down as Fed Signals More Rate Hikes

Falling initial claims point to low layoffs even as longer unemployment spells and Fed projections raise pressure on interest rates.

Overview

  • Initial claims for state unemployment benefits fell to a seasonally adjusted 226,000 for the week ended June 13, showing layoffs remain low.
  • Nonfarm payrolls rose by 172,000 in May, continuing a run of stronger job gains after weakness in 2025.
  • The number of people receiving continued benefits climbed to 1.81 million, and the median unemployment duration increased to 11.6 weeks, signaling longer spells out of work for many jobseekers.
  • The Federal Reserve left its policy rate at 3.50%–3.75% and released projections that show policymakers expect to raise rates later this year because of persistent inflation risks.
  • Seasonal summer filings by school staff and wider policy uncertainty are making the weekly claims harder to interpret and could limit hiring for some employers.