Initial filings for unemployment benefits reached their highest level of the year last week, signaling potential weakness in the labor market. According to a Labor Department report, jobless claims for the week ending Feb. 22 totaled a seasonally adjusted 242,000, up 22,000 from the previous week’s revised level and surpassing the Dow Jones estimate of 225,000. This marks the highest level since early October 2024, amid concerns over economic growth and consumer sentiment. n nPresident Donald Trump’s administration, through Elon Musk’s Department of Government Efficiency advisory board, has been aggressively reducing the federal workforce, resulting in thousands of job cuts. In Washington, D.C., new claims hit 2,047, a 26% increase, the largest since March 25, 2023. However, surrounding areas like Virginia and Maryland saw small declines. n nContinuing claims decreased slightly to 1.86 million, but the four-week moving average rose sharply to 224,000, up 8,500. Notable increases were seen in the New England area, with Massachusetts filings at 9,179, an increase of 3,731, and Rhode Island claims more than tripling to 2,964. n nIn other economic developments, orders for durable goods unexpectedly surged 3.1% in January, potentially reflecting efforts to make big-ticket purchases ahead of tariff increases. Trump announced 25% duties on Mexico and Canada, effective March 4, with China facing an additional 10% charge. The Census Bureau noted this followed a revised 1.8% decline in December. Excluding transportation, orders were flat, but rose 3.5% when excluding defense. n nAdditionally, the Commerce Department reported that the U.S. economy grew at a 2.3% annualized pace in Q4 2024, unchanged from initial estimates. Price indexes followed by the Federal Reserve showed slight upward revisions. n n— news from CNBC
