WASHINGTON (AP) — U.S. applications for jobless aid rose modestly last week, but remain at a historically low level despite economic headwinds brought on by the war in Iran.
The number of Americans filing for unemployment aid for the week ending June 6 rose by 4,000 to 229,000, the Labor Department reported Thursday. That’s the most since early February, before the U.S. and Israel launched attacks on Iran, but still considered a healthy level. It's also more than the 216,000 new applications forecast by analysts surveyed by the data firm FactSet.
Weekly filings for unemployment benefits are considered a proxy for U.S. layoffs and are close to a real-time indicator of the health of the job market.
Despite concerns that the conflict in the Middle East could further squeeze a flagging labor market, hiring has picked up in recent months following a miserable 2025 that saw fewer than 200,000 job gains. For comparison, about 1.5 million jobs were added in 2024.
U.S. employers delivered a surprising 172,000 new jobs in May and the economy is averaging 188,000 job gains in the three months since the Iran war began in late February. That’s the best three months of hiring since early 2024. The unemployment rate remains historically low at 4.3%.
Job openings also rose in April as employers posted 7.6 million vacancies, up from 6.9 million in March and the most since May 2024.
The government reported Wednesday that rising gas prices — triggered by the closure of the Strait of Hormuz off Iran’s southern border — pushed U.S. consumer inflation in May to 4.2%, its highest level in three years. Despite recent declines, prices for oil and gas remain elevated, which can squeeze consumers’ budgets and make businesses think twice about hiring.
With inflation well above the Federal Reserve’s 2% target, most analysts expect officials at the U.S. central bank to stand pat on its benchmark interest rate when they meet next week. That meeting will be the first with new Fed Chair Kevin Warsh, who replaces Jerome Powell after his eight-year run as the U.S. central bank’s leader.
Lower interest rates can boost the economy and hiring, but also tend to stoke inflation, leading a number of Fed policymakers to say they are actually willing to consider an interest rate hike this year. That could potentially help bring inflation down, but higher borrowing costs generally make businesses more reluctant to hire.
Optimism over artificial intelligence has also injected a degree of uncertainty about the job market due to the investment required to develop it and because the powerful technology could alter or even replace some jobs.
Among the companies that have cut jobs recently are Verizon, UPS, Amazon, Disney, Starbucks and Walmart.
Weekly jobless aid applications have stabilized in a range mostly between 200,000 and 250,000 since the U.S. economy emerged from the pandemic recession. However, hiring began slowing about two years ago and tapered further in 2025 due to President Donald Trump’s tariffs, his purge of the federal workforce and the lingering effects of high interest rates meant to control inflation.
The Labor Department’s report Thursday showed that the four-week moving average of jobless claims, which evens out some of the weekly volatility, rose by 4,250 to 219,000.
The total number of Americans filing for unemployment benefits for the previous week ending May 30 jumped by 24,000 to 1.8 million, slightly more than analysts predicted.
FILE - A hiring sign is displayed at a restaurant in Niles, Ill., Thursday, May 14, 2026. (AP Photo/Nam Y. Huh, File)
President Donald Trump on Thursday said the U.S. would hit Iran “VERY HARD TONIGHT,” threatening in a social media post to “assume total control” of Iran’s oil and gas industries, including the key Kharg Island, in the “not too distant future.”
The U.S and Iran traded strikes for a second day, pushing the Middle East closer to the resumption of a full-scale war.
It was the third time this week that back-and-forth strikes have rattled the Middle East. The first involved attacks between Iran and Israel, followed by the two rounds of fire between the U.S. and Iran, which hit countries in the region that host American bases.
Here's the latest:
The number of Americans filing for unemployment aid for the week ending June 6 rose by 4,000 to 229,000, the Labor Department reported Thursday. That’s the most since early February, before the U.S. and Israel launched attacks on Iran, but still considered a healthy level. It’s also more than the 216,000 new applications forecast by analysts surveyed by the data firm FactSet.
Weekly filings for unemployment benefits are considered a proxy for U.S. layoffs and are close to a real-time indicator of the health of the job market.
The four-week moving average of jobless claims, which softens some of the weekly volatility, rose by 4,250 to 219,000.
The total number of Americans filing for unemployment benefits for the previous week ending May 30 jumped by 24,000 to 1.8 million, slightly more than analysts predicted.
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The president on Thursday said the U.S. would hit Iran “VERY HARD TONIGHT,” threatening in a social media post to “assume total control” of Iran’s oil and gas industries, including the key Kharg Island, in the “not too distant future.”
The post came after the U.S and Iran traded strikes for a second day, pushing the Middle East closer to the resumption of a full-scale war. The American attack, which lasted into Thursday morning in Iran, appeared more intense and wider than the day before.
Iran released little information on the extent of the damage and said it fired back at Kuwait, Bahrain and Jordan, as it had a day before.
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A massive coastal development project linked to Jared Kushner, the son-in-law of President Trump, is facing growing resistance from protesters in Albania.
Thousands of protesters are taking to the streets in nightly protests, blowing whistles and holding up cardboard cut-outs of flamingos — one of the protected migratory bird species that could see their habitats threatened by the proposed luxury resort.
The government says the development on the Adriatic coast would be transformational for the former communist nation as it seeks to enter the high-end tourism market and pushes for European Union membership.
But the venture, spanning an abandoned island and a nearby stretch of seafront on Albania’s southern coast, has drawn opposition from environmental campaigners and critics of longtime Socialist Prime Minister Edi Rama.
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A federal judge on Wednesday rejected a government watchdog’s request for a court order temporarily blocking the Trump administration from forging ahead with a new $1.776 billion settlement fund for compensating people who claim to be victims of a weaponized government.
But the judge ended a hearing by issuing a “fair warning” to Trump’s administration: “Don’t play possum with this court,” U.S. District Judge Richard Leon told a government attorney.
Leon ruled from the bench in favor of the administration, which argued that the watchdog’s lawsuit is moot because acting Attorney General Todd Blanche told Congress earlier this month that the government is scrapping its plans for the fund. Leon, who was nominated to the bench by Republican President George W. Bush, said he accepts Blanche’s representation for now.
The judge’s refusal to issue a temporary restraining order isn’t the final word on the fate of the government’s “Anti-Weaponization Fund.” Leon said he will consider a separate request by the plaintiffs — Citizens for Responsibility and Ethics in Washington — for a preliminary injunction that would block payouts from the fund on a more permanent basis.
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A rare lapse in a law that allows the U.S. to gather intelligence abroad is growing more likely after Trump resisted calls from Republicans and Democrats on Capitol Hill to immediately name a permanent head of the nation’s intelligence agencies.
Trump has doubled down on his temporary pick for director of national intelligence, Federal Housing Finance Regulator Bill Pulte, even though he has little experience for the job. Democrats say they won’t support the renewal of Section 702 of the Foreign Intelligence Surveillance Act, known as FISA, unless the president withdraws Pulte’s appointment and nominates a permanent replacement.
The House will try early Thursday to approve a short-term FISA extension, but passage is unlikely. The Senate may follow suit, hoping to prevent what could be an unprecedented lapse in the surveillance tool.
The impasse could soon result in limitations on what intelligence the U.S. government can collect abroad just as World Cup games begin in cities around the country and ahead of celebrations for the nation’s 250th anniversary. The law expires on Friday at midnight.
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Trump’s planned UFC fight on the White House’s South Lawn has required a monumental effort from more than seven federal agencies, hundreds of staff working onsite daily and at least $60 million, according to a legal filing that offers a glimpse into the preparations.
The event is part of the 250th anniversary of America’s founding, and is scheduled for the weekend with the main attraction — seven mixed martial arts matches — on Sunday.
That is, if a judge doesn’t halt the proceedings, which is sought by two Virginia residents in a federal lawsuit against the National Park Service, which oversees the South Lawn.
The agency filed a rebuff of the request Tuesday in court, and, in it, laid out the operations for the event.
“Well over $60 million and tens of thousands of hours of labor have been expended,” the document read, adding that the money came from the UFC and groups affiliated with it.
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Trump Wednesday showed how he had learned to stop worrying about inflation and simply, in his own words, “love” it.
Asked about the new report that the consumer price index in May had jumped 4.2% over the last year, the president took a surprisingly optimistic tack with the challenging news. Trump didn’t dismiss the affordability issue as a “hoax” that was started by Democrats, as he has done previously. Nor did he claim that he was bringing down the cost of living.
Instead, after the government said that inflation spiked to the highest level since April 2023, Trump praised the numbers.
“You know what I really love?” Trump said. “I love the inflation.”
It was an unexpected take given that voters ahead of the November midterm elections have ranked the economy as a top concern — and have given Trump low marks on that issue. Within minutes of his on-camera comment, Democrats quickly rushed to promote it on social media.
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The U.S and Iran traded strikes for a second day, pushing the Middle East closer to the resumption of a full-scale war.
The American attack, which lasted into Thursday morning in Iran, appeared more intense and wider than the day before, but Tehran released little information on the extent of the damage. An Indian official said a U.S. attack on an oil tanker allegedly trying to violate Washington’s blockade on Iranian ports killed three Indian mariners, underscoring the danger to seafarers.
It was the third time this week that back-and-forth strikes have rattled the Middle East. The first involved attacks between Iran and Israel, followed by the two rounds of fire between the U.S. and Iran, which hit countries in the region that host American bases.
The new exchange of fire came as efforts to negotiate an end to the war appeared stuck, with Trump warning that Tehran would “pay the price” for stalled negotiations.
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The arena for the UFC Freedom 250 fights on the South Lawn of the White House is photographed Thursday, June 11, 2026, in Washington. (AP Photo/Alex Brandon)
President Donald Trump signs a bill funding immigration enforcement in the Oval Office of the White House, Wednesday, June 10, 2026, in Washington. (AP Photo/Julia Demaree Nikhinson)
