New jobless claims fall to one of the lowest levels in 40 years

The September 12th week may have been a shortened week for the Labor Day holiday but it is still the sampling week for the monthly employment report -- and initial claims from the week point to improvement in the labor market. Claims fell 11,000 to a 264,000 level that is one of the very lowest of the last 40 years and which is 13,000 lower than the sample week for the August employment report. The current 4-week average, at 272,500, is about even with the month-ago comparison. The sample week may be short, but today's report hints at strength for the September employment report.

Data for continuing claims, which lag by a week, are also very positive, down 26,000 in the September 5th week to 2.237 million with the 4-week average down 5,000 to 2.256 million. The unemployment rate for insured workers continues to hold at a very low 1.7 percent.