U.S. jobless claims inch higher

The number of Americans filing initial claims for unemployment insurance has risen for the second straight week.

The Labour Department said Thursday the number of newly laid-off workers requesting benefits in the week ending Jan. 16 rose by 36,000 to a seasonally adjusted 482,000.

The four-week moving average of claims was also higher at 448,250, an increase of 7,000 from the previous week's revised average of 441,250.

Economists pay closer attention to the four-week average because it smooths out fluctuations.

Jobless claims tend to indicate the pace of layoffs, and watchers say the level of new claims must get below 425,000 and stay there for several weeks to signal that the economy is actually adding jobs.

The total number of people receiving regular jobless benefits fell by 299,837 to 5,716,608 for the week ended Jan. 9.

That figure does not include millions of people who have used up the 26 weeks of benefits they are entitled to under normal state programs and who are now receiving extended benefits for up to 73 additional weeks. Those benefits are paid for by the federal government as part of its emergency stimulus measures.

Thirty-eight states, the District of Columbia and Puerto Rico are now processing extended benefit claims that Congress approved last month.