The number of Americans filing claims for unemployment benefits fell last week to the lowest level since September 2008 as the economic recovery encourages companies to fire fewer workers.
Initial jobless claims declined to 466,000 in the week ended Nov. 21 from 501,000 a week earlier, Labor Department figures showed today in Washington. The number of people collecting unemployment insurance dropped in the prior week, while those getting extended payments also declined.
After slashing more than seven million jobs in the past two years, companies may have little margin to cut further without threatening their capacity to ramp up production as the economy recovers. The government may report next week that employers in November shed the fewest jobs in 20 months.
Separate reports from the Commerce Department showed personal spending rose 0.7% in October, more than forecast, while orders for durable goods unexpectedly declined 0.6% on lower demand for defense equipment.
Elsewhere on the economic calendar, orders for U.S.-made durable goods fell in October, declining 0.6% on weaker demand for machinery and defense goods, the Commerce Department reported Wednesday.
Excluding transportation goods, orders fell 1.3%. Economists surveyed by MarketWatch had expected a gain of 0.5% for durable-goods orders, and a gain of 0.4% for orders excluding transportation.
Durable-goods orders had gained 2% in September, and were up 1.8% excluding transportation.
Shipments of durable goods fell 0.2% in October, pulled down by transportation equipment.
Inventories fell slightly in October and have been down for 10 consecutive months.
