787,000 More Americans Filed First-Time Jobless Claims Last Week
According to a report released by the Labor Department on Thursday, 787,000 more Americans claimed first-time jobless benefits over the last week, slightly less than the 800,000 projected.
Continued jobless claims fell to 5.07 million, down around 126,000 from the previous week. However, economists warn that the numbers might be going down for the wrong reason. States will typically provide jobless benefits for about 26 weeks. After this period, if someone continues to be unemployed they would enroll in other programs, such as the Pandemic Emergency Unemployment Compensation (PEUC) which currently has 4.5 million people enrolled and claiming benefits.
The worsening pandemic infection rates, increased layoffs and high unemployment rates are fueling concerns of a "double-dip" recession.
Economists hope that the new Covid-19 Relief Package that was recently passed will provide some relief and steady the recovery. Investors are optimistic about a recovery.
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