New claims for US jobless aid fell by a bigger-than-expected 17,000 last week to the lowest level since mid-July, government data showed on Thursday, but the four-week average of claims changed little.
First-time claims for state unemployment insurance benefits declined to a seasonally adjusted 302,000 in the week ended September 30 from an upwardly revised 319,000 in the prior week, the Labour Department said.
Analysts polled by Reuters had expected 315,000 new claims last week, after an initially reported 316,000 in the previous week. New claims have been in a tight range for most of the year and have averaged around 315,000 for much of the past two months. Prices for US government bonds lost ground on the data, which suggested labour market conditions were holding relatively firm.
The four-week moving average of new claims, which irons out volatile weekly data to provide a better picture of underlying labour market trends, dipped by 2,750 last week to 313,500.
The number of people who continued to collect jobless benefits after drawing an initial week of aid rose by 15,000 to 2.448 million in the week ended September 23, the latest for which these data are available. Analysts had forecast continuing claims at 2.450 million.
According to a Reuters poll of economists conducted last week, US employers likely added 125,000 new jobs in September and the unemployment rate probably held steady at 4.7 percent, figures that would bolster views the economy had slowed enough to persuade the Federal Reserve to hold interest rates steady. The consensus forecast compares with 128,000 positions created in August and would be roughly in line with the 117,000 monthly average gain from April through July.
CLOTHING RETAILERS PACE STRONG SALES: US department stores and clothing retailers posted surprisingly strong September sales on Thursday as falling gasoline prices and cool weather spurred spending on fall fashions such as skinny jeans and long tops.
Shoppers flocked to stores run by Limited Brands Inc, J.C. Penney Co Inc, Target Corp and Nordstrom Inc in a key transition month as retailers wrapped up back-to-school sales and prepared for the vital holiday shopping season.
Wal-Mart Stores Inc was among the few laggards as its clothing sales proved disappointing and it had a tough time surpassing last year's strong sales, which were inflated by a spending surge following hurricanes Katrina and Rita. J.C. Penney, Target, Ross Stores Inc and TJX Cos. Inc all raised profit forecasts for this quarter.
Overall, sales rose 3.8 percent at stores open at least a year, also known as same-store sales, surpassing expectations for 3.5 percent growth, according to research firm Retail Metrics. Excluding Wal-Mart, same-store sales were up 6 percent, well ahead of expectations for 5.2 percent growth, with 70 percent of retailers beating expectations.
WAL-MART SPEEDS UP GENERICS PROGRAMME EXPANSION: Wal-Mart Stores Inc on Thursday said it will expand a programme offering generic drugs for $4 per prescription throughout Florida on Friday, and said it may bring the programme to other US states by the end of the year.
The programme, which began in Florida's Tampa Bay area last month, offers a small number of generic drugs at the $4 rate, which is well below standard pricing of drug plans offered by private insurers.