Initial unemployment claims fell 41,000 to 410,000 in the week ended November 17, the Labor Department report Wednesday.
Continuing claims slid 30,000 to 3.337 million in the week ended Nov. 10 from 3.367 million in the prior week.
The four-week average rose 9,500 to 396,250 in the week ended Nov. 17.
Economists polled by Thomson Reuters expected 400,000 initial claims and 3.340 million continuing claims.