Initial Jobless Claims Come in at Higher Than Expected 870,000

The number of Americans applying for initial unemployment benefits came in at a larger-than-forecast 870,000 last week, signaling that the recovery in the labor market is losing momentum as the coronavirus pandemic lingers and layoffs continue apace.

Economists had forecast a decline to 840,000. The prior week’s figure was revised up to 866,000 from an initially reported 860,000.

The number of continuing claims, which are reported with a one-week lag to initial claims, increased to 12.580 million. The previous week’s figure was also revised higher to 12.747 million.