FX.co ★ US Initial Jobless Claims Hold January Decline

In the week ending January 17th, initial jobless claims in the US saw a slight increase of 1,000, reaching a total of 200,000. This rise maintained the recent decrease and stayed well below market projections, which anticipated a jump to 212,000. Concurrently, continuing claims decreased by 26,000 to 1,849,000, staying below the averages witnessed in the latter half of the previous year, yet remaining above levels seen following the post-pandemic period. This development contributes to the ongoing trend of a labor market characterized by low rates of firing and hiring, without further deceleration after the noticeable softening in the fourth quarter of 2025. Meanwhile, initial unemployment claims from federal employees, which are closely watched as markets assess the impact of the US government shutdown, increased by 364 to reach 1,010.