Jobless claims rose by the largest amount in five weeks, indicating further slowing in the economy.
The number of Americans filing for unemployment benefits rose 11,000 to 308,000 for the week ending June 10, according to the Labor Department. Applications for benefits haven't grown this much since May 13, and claims haven't been this high since they hit 337,000 on May 27.
Forty states and territories reported an increase in claims while 13 saw a drop. Claims were highest in Pennsylvania, which had 5,425 applicants for unemployment benefits. The state had higher layoffs in the transportation, leather goods, electrical equipment, and service industries, according to the AP.
North Carolina and California were among the nine states that had an increase in filings of 1,000 or more. North Carolinians filed 3,761 more claims, and 2,533 more Californians applied for benefits.
The biggest decline in jobless claims was in Texas, which reported 2,065 fewer applications. The trade, service, and manufacturing industries showed improvement.
Growing jobless claims are a sign that the slowing economy is beginning to pervade the job market. In May, the economy added just 75,000 jobs, 100,000 jobs below what economists expected.
Analysts, says the AP, are forecasting "job growth will weaken in coming months and layoffs will rise as businesses adjust their hiring plans in the face of an expected slowdown."
Economists are forecasting that the economy will grow by about 3 percent in the latter part of the year, compared to 5.3 percent growth in the first quarter
DOW Price at posting:
0.0¢ Sentiment: Buy Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)