Wall Street stabilizes as jobless claims drop to an 18-month low

Major Wall Street Indices opened almost unchanged on Thursday after data showed weekly jobless claims fell to an 18-month low.

The Dow Jones Industrial Average fell 17.99 points, or 0.05%, to 35013.08 points.

The Standard & Poor’s 500 index opened, in drop 1.05 points, or 0.02%, to 4,513.02 points, while the Nasdaq Composite Index increased 9.43 points, or 0.06%, to 15,296.06 points.

This came after the number of Americans applying for new unemployment benefits dropped to its lowest level last week. in nearly 18 months, providing additional prove that labor shortages, not low demand, have hindered employment growth.

The United States Department of Labor said Thursday that the prime Government jobless claims fell 35,000 to 310,000 seasonally adjusted for the week ending 4 September.

This is the lowest level since mid-March 2020, when authorities mandated the closure of non-essential businesses to slow the first wave of the Corona virus.

Economists interviewed by Reuters had expected 335,000 orders in the past week.

Claims have dropped from a peak record of 6.149 million in early April, but remain above the 200,000-250,000 range which is considered consistent with a strong labor market.

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