The pace of weekly unemployment claims soared last week after filing due due in part to the Thanksgiving holiday. The first-term claims for unemployment insurance totaled 853,000, up from 716,000 revised a week earlier, the Labor Department said Thursday. Economists surveyed by the Dow Jones expect 730,000. This is the highest weekly total since September 19, and it reflects job market struggles as corona virus cases have increased and local and state governments have imposed restrictions on certain activities. Consecutive claims increased to 230,000 from 5.76 million, a number that has risen since the end of August. Markets responded slightly to the news, indicating that Wall Street stocks were slightly lower. The increase in viral cases has put considerable pressure on the labor market, with unarmed wages rising from 610,000 in October to just 245,000 in November. These difficulties were further reflected in unresolved unemployment claims, which totaled 947,504, an increase of 31.9% over the previous week. Seasonal factors point to an increase of 12.9%, the Department of Labor said. “These recent upsurge claims are not stagnant, they are seriously deteriorating,” said Daniel Zhao, a senior economist at the employment site in Gloucester. “The rise in initial demands is particularly relevant when claims are still high near the peak of the Great Recession.” Claims filed under epidemic-related unemployment assistance programs have been drastically reduced. For the week ended November 21, claims under the epidemic program for those who do not normally fall under the government insurance program fell by 313,739 to 8.6 million. Emergency claims for those who completed the benefits fell to 36,140 from 614,517. The total number of collectors under all schemes has been reduced from 1.12 million to just 19 million. A separate economic report on Thursday indicated that inflationary pressures were moderate. The consumer price index rose 0.2% in November, unchanged in October. Wall Street expects a 0.1% increase every month. For the 12-month period, the CBI has risen 1.2% compared to the 1.1% estimate. .
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