Labor Department reports weekly jobless claims hit 194,000

The Labor Department reported on Thursday that initial jobless claims dropped to 194,000 for the week ending Oct. 24. This figure represents the lowest weekly total recorded since mid-July. It marks a decrease from the previous week, which was revised upward to 195,000.

Economists monitor these weekly applications closely as an indicator of layoff activity. A decline in claims suggests fewer workers are losing their jobs. The four-week moving average, a metric used to smooth out short-term fluctuations, fell to 196,750.

Claims have remained at historically low levels throughout 2026. No single week this year has seen applications exceed 230,000. For seven consecutive weeks, the weekly total has stayed at or below the 200,000 threshold.

Employers across the private sector, government agencies, and nonprofits added an average of 68,000 jobs per month this year. That pace follows a slower 2025, when monthly job creation averaged just 9,700 due to high interest rates and trade policy uncertainty. Last month’s gain of 29,000 jobs fell short of earlier expectations.

Consumer spending has held firm while investment in artificial intelligence has boosted overall economic growth. The next major labor report is scheduled for release on Friday, Nov. 6. FactSet surveys of forecasters indicate analysts expect that report to show the economy added 55,000 jobs in October.