Unemployment claims have fallen to the lowest level since the pandemic hit last spring, adding to signs that the US economic recovery is rising.
Unemployment claims, a proxy for layoffs, fell to 576,000 last week from 769,000 a week earlier.
This is the lowest weekly figure since March 2020, but well above the levels of about 220,000 that prevailed early last year before the coronavirus pandemic hit the US economy.
“The labor market is on the path to recovery,” said Ann Elizabeth Konkel, an economist at Work Indeed. “Recovery is 100% linked to the public health situation,” she added.
The economy is showing signs of improvement, as vaccination rates fuel consumer spending, governments relax restrictions on businesses, and households and federal incentive funds flow through the economy.