The Dow Jones (DJIA) is set to open the Thursday trading session slightly lower following a mixed unemployment report.
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Initial claims for unemployment totaled 227,000 for the week ended July 5, below the expectation for 235,000 claims and falling from 232,000 during the previous week. The previous week’s initial unemployment claims were revised lower by 1,000 claims from 233,000. Initial unemployment claims have now fallen for four consecutive weeks.
The data suggests that layoff levels remain under control despite economic uncertainty from President Trump’s tariffs.
Continuing Jobless Claims Meet Expectations
Continuing jobless claims, which measure the size of the unemployed population, tallied at 1.965 million, in line with the expectation. However, the unemployed population increased from 1.964 million during the previous week and is now at its highest level since November 2021.
While layoffs remain under control, companies are still hesitant to hire, making it more difficult for unemployed people to find new jobs.
The new jobs data will likely further influence the Fed to keep rates steady during its next Federal Open Market Committee (FOMC) meeting on July 29-30, as the job market hasn’t shown any clear and consistent signs of weakening.
The Dow Jones ETF (DIA) is down by 0.15% at the time of writing.
