FX.co ★ US Initial Claims Inch Down

The number of people claiming unemployment benefits in the US fell by 4,000 from the prior week’s four‑month high, reaching 226,000 in the second week of June, broadly in line with market expectations of 225,000. At the same time, continuing claims — a key gauge of ongoing unemployment — increased by 24,000 to 1,810,000 in the first week of June, the highest level in nearly three months.

Although the data confirm some softening from the very strong conditions seen since the start of the second quarter, jobless claims remain low by historical standards, consistent with a labor market characterized by both limited layoffs and subdued hiring. Meanwhile, initial claims filed by federal employees, which have drawn attention amid the administration’s drive to reduce the public-sector workforce, declined by 56 to 497.