Jobless Picture Brightens a Bit

WASHINGTON (TheStreet) -- The layoff picture improved a bit last week, as jobless metrics showed that the number of first-time filers for unemployment benefits dropped more than expected.

According to a report from the Labor Department this morning, initial claims for unemployment insurance fell by 26,000 to a seasonally adjusted 550,000 last week. Analysts polled by Thomson Reuters had forecast a shallower dip to 560,000.

The four-week moving average for initial claims, which tends to smooth out particularly volatile week-to-week gyrations, also decreased by 2,750 to 570,000.

The number of those continuing to file unemployment insurance claims also sunk to its lowest since April, falling to a 6.09 million for the week ended August 29th, from a revised 6.25 million the week before.

The four-week moving average also fell to 6.18 million, or a 37,750 drop.

New York showed the largest jump in first-time claims, citing layoffs in the transportation and service sectors. Meanwhile, typically hard-hit Michigan was reported to have the biggest drop in initial claims.

Since September began, several corporations continued slashing their payrolls. Danaher earlier announced 3,300 cuts, while American Airlines laid off more than 900 flight attendants.

-- Reported by Sung Moss in New York

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