US unemployment benefit applications drop to two-month low

Initial applications for US unemployment benefits fell by 9,000 to 215,000 for the week ended April 12, reaching a two-month low. This level was below economists' forecasts of 225,000, according to Bloomberg data.

However, initial claims filed by federal employees increased during the same period, rising to 629 from 542 the previous week. Virginia, California, and Texas reported the highest number of new federal claims.

Despite the weekly fluctuation, overall jobless claims remain largely consistent with levels seen around the same time last year.

In recent remarks, Federal Reserve Chairman Jerome Powell characterized the labor market as being in “solid condition,” observing that stable employment indicators suggest firms have avoided major layoffs even amid economic uncertainties, including potential tariff effects.