MW:Jobless claims dip below 300,000, but delays cited
By Jeffry Bartash
WASHINGTON (MarketWatch) - The number of new applications for U.S. jobless benefits fell below 300,000 for the first time since 2006, but the government attributed the surprising plunge to computer-related delays instead of a sudden improvement in the labor market. Initial claims sank by 31,000 to 292,000 in the week ended Sept. 7, marking the lowest level since April 2006. Yet a Labor Department official on Thursday said two states made changes to their computer systems that resulted in some claims not being processed in time. The Labor Day holiday may have also skewed the report. As a result, initial claims are likely to rise in the following week and probably move closer to their prior range of around 325,000. Economists surveyed by MarketWatch had expected claims to rise to 330,000 on a seasonally adjusted basis from an unrevised 323,000 in the last week of August. Meanwhile, the average of new claims over the past month, a more reliable gauge than the volatile weekly number, fell by 7,500 to 321,250. That's the lowest level since October 2007. Also, the government said continuing claims decreased by 73,000 to 2.87 million in the week ended Aug. 31. Continuing claims reflect the number of people already receiving benefits.
