Slightly more people applied for U.S. unemployment benefits last week, but the overall level of jobless claims stayed low enough to suggest the job market is strengthening. The Labor Department reported that jobless claims increased by 8,000 last week to 362,000, the highest level since January, while the four-week average-a better measure of underlying trends-rose slightly to 355,000. Despite the increases, jobless claims have fallen 14 percent since last October. When claims fall below 375,000, it generally signals that hiring is strong enough to reduce the unemployment rate. The steady declines in jobless claims have coincided with three months of strong hiring gains.
