Jobless Claims Jump Exceeds Expectations

The number of newly laid-off workers filing for unemployment benefits jumped by 17,000 last week to the highest level since last summer.

Analysts were uncertain about the cause of the surge in the volatile claims data, which was eight times larger than many had expected, or whether it would be reversed in coming weeks.

“However, if initial unemployment claims continue to maintain levels above 340,000, such a trend would indicate a clear moderation from labor conditions that were prevalent in the early fall and late summer,” said Elliott Platt, an economist with Donaldson, Lufkin & Jenrette Securities Corp.

The Labor Department said Thursday applications for unemployment insurance totaled a seasonally adjusted 344,000, up from 327,000 a week earlier and the highest since 367,000 were filed during the week ended July 13.

It also was the steepest advance since a 23,000 jump during the week ended Oct. 26 that was largely attributed to now-ended strikes at General Motors plants.