The number of applicants for unemployment benefits in the United States declines, temporarily avoiding a large-scale layoff wave in the economy

On December 26, the number of people in the United States applying for unemployment benefits for the first time last week fell, indicating that at the end of 2024, the US economy still avoided large-scale layoffs. The U.S. Department of Labor said on Thursday that during the week ending December 21, 219,000 people applied for new unemployment benefits, compared to 220,000 people in the previous week and a market expectation of 225,000. The current U.S. unemployment rate is 4.2%, which is still relatively mild by standards over the past decade. However, during 2024 there was a slight increase in unemployment rates - a sign of softening labor markets reflected in fewer job vacancies per job seeker and declining numbers of new jobs as well as more industries cutting back on recruitment.