Michael Gapen

Initial jobless claims fell to 472k in the week of August 28 from an upwardly revised 478k (previous: 473k), between our forecast (465k) and consensus (475k) estimates. This was the second consecutive weekly decline after a recent high of 504k during the week of August 14.

The four-week moving average now stands at 486k, down from 488k in the prior week. Continuing claims fell 23k during the week, to 4.456mn, and the four-week moving average declined 29k to 4.485mn. The insured unemployment rate remained unchanged at 3.5%. Overall, the report is modestly encouraging as continuing claims have maintained their gradual downward trend.

source: BarCap