Initial Jobless Claims Less Than Expected

Washington, DC, Aug. 6, 2009–Initial jobless claims dropped more than expected last week, a government report showed on Thursday, boosting views that the labor market and the economy were stabilizing.

Initial claims for state unemployment insurance benefits fell 38,000 to a seasonally adjusted 550,000 in the week ended Aug. 1 from 588,000 the prior week, the Labor Department said.

Analysts had forecast new claims to edge down to 580,000 last week from a previously reported 584,000 count.

The number of people collecting long-term unemployment benefits rose by 69,000 to 6.31 million in the week ended July 25, the latest week for which the data is available.