Massachusetts, US see increase in new unemployment claims

There were 1,542,000 Initial Claims for unemployment benefits in the US during the week ending June 6th, the data published by the US Department of Labor (DOL) revealed on Thursday.

This indicates the number of unemployed workers eligible for and receiving benefits after their initial claim.

"As the COVID-19 pandemic continues to claim devastating tolls in lives and lost economic output, the elevated level of new jobless claims at 1.5 million serves as a reminder that this two-sided crisis is very much persisting", Mark Hamrick, Bankrate's senior economic analyst, said Thursday in a note.

This week's initial jobless claims data comes after the Bureau of Labor Statistics reported that the USA economy unexpectedly added 2.5 million nonfarm payrolls in May, exceeding economists expectations for 7.5 million job losses.

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It appears the remnants of Cristobal will be tracking north-northeast toward the Badger State Tuesday into Tuesday night. Social media Sunday morning showed high water and areas of inundation from southeast Louisiana to the Florida Panhandle.

Why it matters: Unemployment applications have tapered off from their peak at the start of the coronavirus pandemic, but remain at historically high rates even as states take steps to reopen and businesses start to bring workers back. The Department of Labor has been tracking the statistics since 1967.

Weekly Initial Jobless Claims in the U.S. edged lower to 1.54 million. Over the past 3 months, more than 44 million Americans have filed for unemployment insurance.

Despite the staggering unemployment figures, the stock market has been on a steady rise since reaching a four-year low in March.

And additional 705,000 Americans filed for "Pandemic Unemployment Assistance", which extends unemployment benefits to the self-employed and gig workers under the federal stimulus bill. The unemployment rate fell to 13.3% from 14.7% in April.

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