The number of Americans filing for unemployment benefits jumped to its highest level in a year last week, even as the labor market remains surprisingly healthy in an era of high interest rates.
Jobless claims for the week ending July 27 climbed by 14,000 to 249,000, from 235,000 the previous week, the Labor Department reported Thursday. It’s the most since the first week of August last year and the 10th straight week that claims have come in above 220,000. Before that stretch, claims had remained below that level in all but three weeks this year.
Weekly unemployment claims are widely considered as representative of layoffs, and though they have been slightly higher the past couple of months, they remain at historically healthy levels.
Strong consumer demand and a resilient labor market has helped to avert a recession that many economists forecast during the extended flurry of rate hikes by the Federal Reserve that began in March of 2022.
As inflation continues to ease, the Fed’s goal of a soft-landing — bringing down inflation without causing a recession and mass layoffs — appears within reach.
On Wednesday, the Fed left its benchmark rate alone, but officials hinted strongly that a cut could come in September if the data remained on its recent trajectory. And recent data from the labor market suggest some weakening.
The unemployment rate ticked up to 4.1% in June, despite the fact that America’s employers added 206,000 jobs. U.S. job openings also fell slightly last month. Add that to elevated layoffs and the Fed could be poised to cut interest rates next month, as most analysts expect.
The four-week average of claims, which smooths out some of the weekly ups and downs, rose by 2,500 to 238,000.
The total number of Americans collecting unemployment benefits for the week of July 20 jumped by 33,000 to 1.88 million. The four-week average for continuing claims rose to 1,857,000, the most since December of 2021.
Continuing claims have been on the rise in recent months, suggesting that some Americans receiving unemployment benefits are finding it more challenging to land jobs.
There have been job cuts across a range of sectors this year, from the agricultural manufacturer Deere, to media outlets like CNN, and elsewhere.
FILE - A hiring sign is displayed at a grocery store in Deerfield, Ill., Thursday, July 25, 2024. On Thursday, Aug. 1, 2024, the Labor Department reports on the number of people who applied for unemployment benefits last week. (AP Photo/Nam Y. Huh, File)
CLEVELAND (AP) — Lane Thomas and José Ramírez hit back-to-back eighth-inning homers and Joey Cantillo pitched five scoreless innings as the AL Central-leading Cleveland Guardians beat the Tampa Bay Rays 6-1 on Saturday night.
The Guardians remained three games ahead of second-place Kansas City in the division with 13 games remaining. Cleveland has the best home record in the AL at 44-27 and is 85-64 overall, second in the league to the New York Yankees.
Josh Naylor’s two-run single through a drawn-in infield ignited a three-run sixth that extended Cleveland’s lead to 4-0. David Fry added a sacrifice fly off Tyler Alexander (6-5), scoring Ramírez, who had been intentionally walked for a franchise-record 88th time.
Thomas and Ramírez tacked on solo homers in the eighth against Hunter Bigge.
Cantillo (2-3) gave up three hits, walked one and struck out six in his sixth start in the majors. The left-hander threw 6 2/3 perfect innings — and worked a career-high seven — in earning his first win Monday at the White Sox.
Junior Caminero had a career-high three doubles for Tampa Bay, driving in the team's only run in the eighth. The Rays fell to 4-5 on a 10-game trip through Baltimore, Philadelphia and Cleveland and are six back for the third AL wild card.
Cleveland went ahead 1-0 in the sixth on Brayan Rocchio’s double to right, scoring Andrés Giménez. Jhonkensy Noel also attempted to come home, but was thrown out on a relay from second baseman José Caballero.
Tampa Bay appeared to score in the fifth on Jose Siri’s single, but a replay review overturned the safe call at home on Josh Lowe. Thomas’ throw and Austin Hedges’ tag just beat Lowe’s left hand to the plate.
TRAINER’S ROOM
Rays: 2B Christopher Morel (right Achilles discomfort) was held out of the lineup one day after being removed in the third inning in Cleveland. Manager Kevin Cash said Morel “feels better now than he did when he came out of the game.”
Guardians: OF Steven Kwan (mid-low back tightness), who was a late scratch Friday, is considered day to day and will not be placed on the injured list. The All-Star left fielder underwent medical tests that revealed no structural damage.
UP NEXT
Rays RHP Taj Bradley (6-10, 4.40 ERA) takes on Guardians RHP Ben Lively (11-9, 4.01 ERA) in the four-game series finale. Lively was struck on his right leg by Dominic Fletcher's liner in his last start Tuesday at the White Sox, exiting after 1 2/3 innings.
AP MLB: https://apnews.com/hub/mlb
Tampa Bay Rays' Drew Rasmussen pitches in the first inning of a baseball game against the Cleveland Guardians, Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Tampa Bay Rays' Josh Lowe, left, is tagged out by Cleveland Guardians catcher Austin Hedges, right, in the fifth inning of a baseball game Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Tampa Bay Rays' Josh Lowe (15) steals second base under a tag by Cleveland Guardians second baseman Andres Gimenez, front left, in the fifth inning of a baseball game Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Tampa Bay Rays' Jose Caballero tosses his bat after striking out in the fourth inning of a baseball game against the Cleveland Guardians, Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Cleveland Guardians' Jhonkensy Noel, left, is tagged out at home plate by Tampa Bay Rays catcher Logan Driscoll, right, in the fifth inning of a baseball game, Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Tampa Bay Rays' Tyler Alexander pitches in the fifth inning of a baseball game against the Cleveland Guardians Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Cleveland Guardians' Joey Cantillo pitches in the first inning of a baseball game against the Tampa Bay Rays, Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Tampa Bay Rays' Junior Caminero, left, gestures from second base after hitting a double in the fourth inning of a baseball game against the Cleveland Guardians, Saturday, Sept. 14, 2024, in Cleveland. Guardians second baseman Andres Gimenez, right, looks on. (AP Photo/Sue Ogrocki)
Cleveland Guardians' Jose Ramirez, left, scores behind Tampa Bay Rays catcher Logan Driscoll, right, in the sixth inning of a baseball game Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Cleveland Guardians' Lane Thomas, left, gestures from second base in front of Tampa Bay Rays second baseman Jose Caballero (7) after hitting a double in the sixth inning of a baseball game Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
Cleveland Guardians' Josh Naylor, right, hits a single in front of Tampa Bay Rays catcher Logan Driscoll, left, in the sixth inning of a baseball game Saturday, Sept. 14, 2024, in Cleveland. (AP Photo/Sue Ogrocki)
