US weekly jobless claims rise marginally
Initial claims for state unemployment benefits rose 1,000 to a seasonally adjusted 218,000 for the week ended July 26, the Labor Department said on Thursday. Economists polled by Reuters had forecast 224,000 claims for the latest week.
The labor market has slowed, with economists saying uncertainty over where President Donald Trump's tariff levels will eventually settle has left businesses wary of adding headcount. But labor supply has also declined amid the White House's immigration crackdown.
The Federal Reserve on Wednesday left its benchmark interest rate in the 4.25%-4.50% range, resisting pressure from President Donald Trump to lower borrowing costs. Fed Chair Jerome Powell told reporters the labor market was in balance. But he added because that was partly due to both demand and supply declining, "we do see downside risk in the labor market."
The central bank cut rates three times in 2024, with the last move coming in December. Most economists expect it to resume policy easing in September.
Employers' hesitancy to increase hiring means there are fewer jobs for those being laid off. Government data on Tuesday showed there were 1.06 job openings for every unemployed person in June compared to 1.33 in January.
The number of people receiving benefits after an initial week of aid, a proxy for hiring, were unchanged at a seasonally adjusted 1.946 million during the week ending July 19, the claims report showed.
The claims data has no bearing on July's employment report, due on Friday as it falls outside the survey period. Nonfarm payrolls likely increased by 110,000 jobs last month after rising 147,000 in June, a Reuters survey of economists showed.
The unemployment rate is forecast to rise to 4.2% from 4.1% in June. (Reporting By Lucia Mutikani; Editing by Chizu Nomiyama)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Star
32 minutes ago
- The Star
Zelenskiy says Russia seems more inclined now to a ceasefire
FILE PHOTO: Ukrainian President Volodymyr Zelenskiy speaks during a press conference on the first day of the two-day Ukraine Recovery Conference (URC2025), on plans for the reconstruction of Ukraine, in Rome, Italy, July 10, 2025. REUTERS/Guglielmo Mangiapane/File Photo KYIV (Reuters) -Ukrainian President Volodymyr Zelenskiy said on Wednesday that Russia seemed "more inclined" to a ceasefire, but details of a potential deal are of great significance and neither Ukraine nor the U.S. should be deceived by Moscow. President Donald Trump said his special envoy Steve Witkoff's meeting with Russian leader Vladimir Putin on Wednesday delivered "great progress," but Trump gave no specifics. Following the meeting, Zelenskiy had a call with Trump, joined by European allies. "Ukraine will definitely defend its independence. We all need a lasting and reliable peace. Russia must end the war that it itself started," Zelenskiy said on X. Trump, who has signalled frustration with Putin in recent weeks and has given the Russian president until Friday to make peace with Ukraine or face tougher sanctions, hailed Witkoff's visit as highly productive. But a White House official said the secondary sanctions that Trump has threatened against countries doing business with Russia were still expected to be implemented on Friday. An executive order introducing additional 25% tariffs on India for Russian oil imports was signed on Wednesday. "The pressure on (Russia) works. But the main thing is that they do not deceive us in the details – neither us nor the U.S.," Zelenskiy said. Ukraine has repeatedly called for an immediate and unconditional ceasefire. Russia, which now controls about a fifth of Ukrainian territory and proceeds with its advances on the eastern front, rejected the idea. National security advisers from Ukraine and allied nations were to meet soon to work out a "joint stance", Zelenskiy added. (Reporting by Yuliia Dysa; Editing by Leslie Adler)
The Star
3 hours ago
- The Star
Tennis-U.S. Open announces record $90 million prize money
NEW YORK (Reuters) -The U.S. Open announced $90 million in prize money will be on offer at this year's final major, marking the largest purse in tennis history, up 20% from 2024. Top players in the ATP and WTA called for more equitable distribution of revenue at the four Grand Slams this year, as those at the top of the game are able to benefit from increased prize money while players at the lower levels often struggle. The U.S. Open prize pool is up from $75 million in 2024, the previous highest-ever purse. Men's and women's singles winners will earn $5 million each, up from $3.6 million last year. The tournament will also see double-digit percentage increases across all rounds in all events, after "years of a strategic focus on redistribution to the early rounds and qualifying tournament," organisers said. Singles action at the U.S. Open has been expanded to 15 days, amid booming attendance, and will take place from August 24 to September 7. A new format in the mixed doubles is being introduced this year, with the event featuring many big-name singles players as it will be taking place over two days in the week before the main competition kicks off at Flushing Meadows. U.S. Open attendance topped one million fans for the first time in 2024. (Reporting by Amy Tennery in New York, editing by Pritha Sarkar)
The Star
3 hours ago
- The Star
Google commits $1 billion for AI training at US universities
FILE PHOTO: The Google logo, a keyboard, and robot hands are seen in this illustration taken January 27, 2025. REUTERS/Dado Ruvic/Illustration/File Photo SAN FRANCISCO (Reuters) -Alphabet's Google on Wednesday announced a three-year, $1 billion commitment to provide artificial intelligence training and tools to U.S. higher education institutions and nonprofits. More than 100 universities have signed on to the initiative so far, includingsome of the nation's largest public university systems such as Texas A&M and the University of North Carolina. Participating schools may receive cash funding and resources, such as cloud computing credits towards AI training for students as well as research on AI-related topics. The billion-dollar figure also includes the value of paid AI tools, such as an advanced version of the Gemini chatbot, which Google will give to college students for free. Google hopes to expand the program to every accredited nonprofit college in the U.S. and is discussing similar plans in other countries, Senior Vice President James Manyika said in an interview. He declined to specify how much Google is earmarking in direct funds to external institutions relative to footing its own cloud and subscription bills. The announcement comes as rivals like OpenAI, Anthropic and Amazon have made similar pushes around AI in education as the technology pervades society. Microsoft in July pledged $4 billion to bolster AI in education globally. By evangelizing their products to students, tech firms further stand to win business deals once those users enter the workforce. A growing body of research has mapped concerns around AI's role in education, from enabling cheating to eroding critical thinking, prompting some schools to consider bans. Manyika said Google had not faced resistance from administrators since it began to plot its education initiative earlier this year, but "many more questions" about AI-related concerns remain. "We're hoping to learn together with these institutions about how best to use these tools," he said, adding that the insights could help shape future product decisions. (Reporting by Kenrick Cai; Editing by Jamie Freed)
