WASHINGTON — Initial claims for U.S. state unemployment benefits were much higher than expected in the October 5 week, rising by 66,000 to 374,000 on special factors, the Labor Department reported Thursday.

A Labor Department analyst noted that California is still working through the backlog created by computer issues that is had in early September. The accounted for roughly half of the seasonally adjusted increase.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.