The number of initial jobless claims in the United States last week increased more than expected, giving the Federal Reserve room to keep interest rates unchanged
The number of people applying for unemployment benefits in the United States last week increased more than expected. The Department of Labor said on Thursday that the initial claims increased by 22,000 to a seasonally adjusted 242,000 in the week ending February 22, higher than the market expectation of 221,000. A separate Federal Employee Unemployment Compensation (UCFE) program showed that massive layoffs of federal government probationary employees have not yet had any impact, most of whom were fired by Musk's Government Efficiency Department (DOGE) around February 14. As policymakers closely monitor the impact of Trump's fiscal, trade and immigration policies on the economy, historically low layoffs are maintaining economic expansion momentum which gives room for Fed to keep interest rates unchanged. Economists believe that Trump administration's policies will lead to inflation.(Jinshi)
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