WASHINGTON - Initial claims increased by 18,000 to 409,000 for the week ending Jan. 1 as the four-week moving average for initial claims dropped to the lowest level in more than two years, the Labor Department reported Thursday.
The initial claims figure for the week ending Dec. 25 was revised higher to 391,000 from 388,000. Still, the figure is the lowest since July 2008. Initial claims have declined from a 2010 high of 504,000 set in the week ending Aug. 14.
Continuing claims fell to 4.103 million for the week ending Dec. 25 and continuing claims for the week ending Dec. 18 were revised to 4.150 million from 4.128 million.
Economists expected 400,000 initial claims and 4.1 million continuing claims, according to the median estimate from Thomson Reuters.
The four-week moving average for initial claims, a less volatile figure, dropped for the third week in a row to 410,750, the lowest level since July 2008. The four-week average for continuing claims dropped to 4.123 million.
Initial claims data from the Virgin Islands and Virginia were estimated, a Labor Department official said.
