WASHINGTON (AP) — More Americans sought unemployment benefits last week, but layoffs remain low despite economic uncertainty caused by the Iran war.
The Labor Department reported Thursday that jobless claims were up to 215,000, up from 210,000 the week before. The four-week moving average of claims, which smooths out week-to-week volatility, rose by nearly 6,300 to 209,000.
“Initial claims are still impressively low, near historic lows,” Carl Weinberg, chief economist at High Frequency Economics, wrote in a commentary. “The uptick from last week to this week is trivial in a labor market of 159 million workers.″
The number of Americans signing up for unemployment benefits — a proxy for layoffs — has stabilized in a low range of mostly 200,000 to 250,000 a week since the U.S. economy emerged from a brief but nasty pandemic recession in 2020.
The total number of people collecting jobless aid rose by 15,000 to 1.79 million the week that ended May 16.
The persistently low number of claims suggests that most U.S. companies have not resorted to layoffs. But even if they’re not cutting jobs, employers haven’t been adding many either. Last year, companies, nonprofits and government agencies added fewer than 10,000 jobs a month, weakest hiring outside recession years since 2002.
Job creation has picked up a bit so far this year — to an average of 76,000 a month from January through April. By contrast, employers added 122,000 a month in 2024 and averaged nearly 400,000 a month from 2021 through 2023 as the economy roared back from COVID-19 lockdowns.
But the United States now needs fewer jobs to keep the unemployment rate from rising. President Donald Trump’s immigration crackdown and ongoing Baby Boomer retirements means that the monthly “break-even rate″ of monthly hiring may be as low as zero. And the unemployment rate — 4.3% in April — has, in fact, remained low by historic standards.
The Iran war has clouded the economic outlook as higher energy prices squeeze consumers and businesses. Iran responded to U.S. and Israeli attacks by turning to economic warfare — closing the Strait of Hormuz, through which a fifth of the world’s oil passes, and causing the biggest disruption of global oil supplies in history. In response, U.S. gasoline prices have surged to an average of $4.43 a gallon from an average $2.98 a gallon on the eve of the conflict, according to AAA.
A hiring sign is displayed at a restaurant in Morton Grove, Ill., Thursday, May 14, 2026. (AP Photo/Nam Y. Huh)
WASHINGTON (AP) — The Justice Department has opened an investigation into whether E. Jean Carroll, the longtime advice columnist who has said Donald Trump sexually assaulted her in a New York department store 30 years ago, lied during the course of civil litigation against the Republican president, according to a person familiar with the matter.
The person who confirmed the existence of the investigation was not authorized to publicly discuss an ongoing inquiry and spoke on the condition of anonymity. The perjury investigation is being led by the federal prosecutors’ office in Chicago, and acting Attorney General Todd Blanche has had no involvement because of his prior work as Trump’s personal attorney, the person said.
Lawyers for Carroll did not immediately respond to requests for comment from The Associated Press on Thursday.
It’s the latest in a series of investigations the Trump administration Justice Department has opened into perceived adversaries of the president. The actions, including securing an indictment last month against former FBI Director James Comey, have raised alarm from Democrats and former officials that an institution meant to make prosecutorial decisions independent of the White House is being weaponized.
Carroll has said a flirtatious, chance encounter with Trump in 1996 at Bergdorf Goodman’s Fifth Avenue store in Manhattan ended violently. She said Trump slammed her against a dressing room wall, pulled down her tights and forced himself on her. Trump has called the allegations a “made-up scam," and he has attacked her motivations, saying they were politically driven or arose from a desire to promote her memoir.
A jury in 2023 found Trump liable for sexually abusing Carroll, awarding her $5 million. The following year, another jury awarded Carroll $83.3 million in a defamation case related to Trump's social media attacks on her.
The Justice Department is scrutinizing a statement Carroll made in the course of the civil litigation that no one else was paying her legal fees. It later became public that a Chicago-based organization backed by Reid Hoffman, the co-founder of LinkedIn, had helped fund Carroll's case. Trump's lawyers in the civil case accused Carroll of concealing that information, which they said called into question whether the case was politically motivated.
A court entry earlier this month said Trump won’t have to pay the award until the U.S. Supreme Court gets a chance to review the case or reject an appeal. The 2nd U.S. Circuit Court of Appeals agreed to a request by one of Trump’s lawyers that it let the president delay the payment to Carroll, though it required that he post a $7.4 million bond to cover any additional interest costs, a request Carroll’s attorney had made.
The Carroll investigation was first reported by CNN.
President Donald Trump speaks during a Cabinet meeting at the White House, Wednesday, May 27, 2026, in Washington. (AP Photo/Jacquelyn Martin)
FILE - E. Jean Carroll exits the New York Federal Court after former President Donald Trump appeared in court, Sept. 6, 2024, in New York. (AP Photo/Eduardo Munoz Alvarez, File)
