Weekly Jobless Claims Up Slightly

Washington, DC, August 18--The number of newly laid off Americans filing applications for unemployment benefits rose slightly last week but still remained at levels indicating a strong labor market. The Labor Department reported Thursday that applications for unemployment benefits totaled 316,000 last week, a gain of 6,000 from the previous week. That increase was above the 2,000-person rise that economists had expected, but the level of laid-off workers remained well within the range that signals the labor market is continuing to improve. Employers created 207,000 new jobs last month, the best showing in three months, helping to keep the unemployment rate at a low level of 5 percent. So far this year, a strong economy has generated an average of 191,000 new jobs per month, better than last year's average of 183,000. Forecasters believe that labor market strength will continue for the rest of the year as long as soaring energy costs don't jolt business and consumer confidence and cause cutbacks in spending. The four-week moving average for jobless claims edged up slightly to 312,750 last week, compared to 310,000 the previous week.