Jobless Claims Stay Below 200,000 for Sixth Straight Week, Lowest Since 1969

Initial unemployment claims fell to 194,000 last week from 200,000 the prior week, the Labor Department said Thursday, marking the first six-week stretch since 1969 in which fewer than 200,000 people newly filed for jobless benefits. The four-week average of 197,750 ties a 2022 stretch for the lowest level since 1969, a notable figure given the workforce has more than doubled since then. Economists describe the labor market as a "low-hire, low-fire" environment, with employers reluctant to expand or cut staff amid uncertainty over the war in Iran, trade policy, and an immigration crackdown that has reduced available workers. Oxford Economics expects unemployment to stay low or fall further, noting the trend spans 70% of states. The stability gives the Federal Reserve more room to focus on inflation, which remains above its 2% target, potentially supporting a higher fed funds rate and borrowing costs.