U.S. weekly jobless claims fall; productivity improves

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U.S. weekly jobless claims fall; productivity improves
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The number of Americans filing applications for unemployment benefits unexpected...

WASHINGTON - The number of Americans filing applications for unemployment benefits unexpectedly fell last week, pointing to strong labor market conditions despite signs that job growth was slowing.

Initial claims for state unemployment benefits slipped 3,000 to a seasonally adjusted 223,000 for the week ended March 2, the Labor Department said. Economists polled by Reuters had forecast claims would be unchanged at 225,000 in the latest week. Recent Institute for Supply Management surveys showed measures of manufacturing and services sectors employment dropping in February. A report from the Fed on Wednesday showed “modest-to-moderate gains” in employment in a majority of the U.S. central bank’s districts in February.

The U.S. dollar extended gains after the release of the data on Thursday while U.S. stock index futures were little changed. Prices of U.S. Treasuries were trading higher.In another report on Thursday, the Labor Department said non farm productivity, which measures hourly output per worker, increased at a 1.9 percent annualized rate in the last quarter.

The economy grew at a 2.6 percent rate in the October-December period after a robust 3.4 percent growth pace in the third quarter.

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