US Initial Jobless Claims Fall to 209,000, Below Forecast

US initial jobless claims came in below market expectations last week.

The Labor Department said on May 21 that initial jobless claims totaled 209,000 in the previous week. That was 1,000 below economists’ forecast of 210,000 and down 3,000 from the prior week’s revised 212,000.

Continuing claims, which reflect the number of people receiving benefits for two consecutive weeks, stood at 1.782 million. That was up 6,000 from the previous week’s revised 1.776 million, but 8,000 below the market forecast of 1.79 million.

Initial jobless claims are a closely watched indicator of conditions in the US labor market. Rising claims can signal that an overheated labor market is beginning to cool.

Economists are watching employment indicators, including jobless claims, to gauge how President Donald Trump’s aggressive tariff policies are affecting corporate decision-making.