The number of Americans filing new claims for unemployment benefits fell to 189,000 in the week ended October 31, 2026, matching the lowest level recorded since 1969, according to data released Thursday by the US Department of Labor.
Initial claims declined by 6,000 from the previous week’s revised total of 195,000, coming in below economists’ expectations of 196,000.
The reading matched the 57-year low reached in mid-July, indicating that layoffs remain limited despite uncertainty surrounding economic growth, energy prices and trade policy.
Layoffs Remain Historically Low
The four-week moving average of initial claims, which helps smooth weekly fluctuations, declined by 2,250 to 194,750.
Claims have remained mostly below 200,000 since mid-September, supported by relatively low levels of layoffs.
Strong domestic demand and corporate profitability have helped businesses retain workers, although uncertainty surrounding the conflict with Iran, higher energy costs and federal trade policies continues to influence hiring decisions.
Some economists have also pointed to changes in labor force participation as a factor affecting unemployment claims.
Continuing Claims Rise
While new applications declined, the number of Americans continuing to receive unemployment benefits increased by 23,000 to 1.718 million in the week ended October 24.
The insured unemployment rate remained unchanged at 1.1%.
The increase in continuing claims suggests that some unemployed workers are taking longer to secure new positions, even as initial layoffs remain low.
The figures were released ahead of Friday’s October employment report, which will provide a broader assessment of hiring activity and unemployment.
Economists surveyed by Reuters expect nonfarm payrolls to increase by approximately 65,000 jobs, with the unemployment rate remaining at 4.2%.
The latest weekly data show historically low initial unemployment claims alongside a modest increase in continuing claims. The two indicators measure different aspects of labor market conditions and will be assessed alongside the government’s monthly employment figures.
