The number of applications for unemployment benefits in the United States fell to 17-month low

According to the US Department of Labor, the number of Americans who applied for unemployment benefits last week fell to a 17-month low. This suggests that the country is experiencing an active growth in employment, despite a sharp increase in the incidence of Covid.

The number of applications for benefits over the past week decreased to 348 thousand, taking into account the seasonal fluctuations. The decline has been observed for the fourth straight week, bringing the number of filings to its lowest level since mid-March 2020 (when the authorities ordered a number of companies to suspend operations to slow the first wave of the pandemic).

Analysts predicted an indicator of 363 thousand. The number of applications decreased from a record 6.149 million at the beginning of April 2020, but still exceeds the range of 200-250 thousand, which is considered an indicator of a healthy labor market.

Experts note that the number of appeals is decreasing, since employers “value” employees in the face of a shortage of labor, and vaccination makes it possible to fully resume economic activity. Note that at the moment, more than half of the US population is fully vaccinated against coronavirus.