The number of Americans applying for jobless benefits inches up, but layoffs remain low

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The number of Americans applying for jobless benefits inches up, but layoffs remain low
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The number of Americans applying for unemployment benefits ticked up last week, but layoffs remain historically low in the face of lingering inflation and high interest rates.

Jobless claims for the week ending May 25 rose by 3,000 to 219,000, up from 216,000 the week before, the Labor Department reported Thursday.

The Federal Reserve raised its benchmark borrowing rate 11 times beginning in March of 2022 in a bid to stifle the four-decade high inflation that took hold after the economy rebounded from the COVID-19 recession of 2020. The Fed’s intention was to cool off a red-hot labor market and slow wage growth, which can fuel inflation.

The government also recently reported 8.5 million job openings in March, the lowest number of vacancies in three years.

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