Initial claims for jobless benefits dropped by 16,000 to 230,000 in the week that ended on April 22, the Labor Department said Thursday.
The decline suggests that demand for workers remains high despite fears of a looming recession.
Economists had forecast claims would rise by 4,000 to 249,000. The prior week’s claims were revised to 246,000 from the initial estimate of 245,000.
The number of people claiming benefits after their initial application declined by 3,000 to 1.86 million.
Claims can be volatile week to week so economists look to the four-week moving average to discern trends in the labor market. The average fell by 4,000 to 236,000