Initial Jobless Claims Dip Slightly

WASHINGTON(TheStreet) -- The number of first-timers applying for unemployment insurance fell slightly by 4,000 last week, though some were expecting a steeper drop.

According to figures from the Labor Department, seasonally adjusted initial claims figures fell to 570,000 from 574,000 the week prior. The four-week moving average, which tends to smooth out wild swings in the potentially volatile figures, jumped by 4,000 to 571,520. Despite it all, the numbers remain well above trends from the same time last year.

Meanwhile, the number of those continuing on claims jumped to a seasonally adjusted 6.23 million for the week ended August 22, an increase of 92,000 from the week before.

According to a poll from Thomson Reuters, many economists forecast that initial unemployment claims would fall to a seasonally adjusted 560,000, with the total of those continuing on insurance rolls to drop to 6.13 million. Economists and market watchers tend to use unemployment claim figures as one gauge for overall employment health.

According to a press release, California showed the biggest jump among the states in initial claims thanks to layoffs in construction, trade and service industries.

Overall, the unemployment picture continues to look fuzzy and dour, according to some reports. Yesterday, minutes released from the Federal Reserve's Open Market Committee meeting in August showed that economic policy makers continue to be concerned with unemployment and see it as an impediment to an otherwise confident assessment of future economic growth.

American Data Processing(ADP Quote) also issued figures showing a disappointing 298,000 private-sector jobs lost in August.

Just before that, Danaher(DHR Quote) announced accelerated restructuring plans to slash some 3,300 jobs.