The number of initial applications in the United States increased last week, reducing the possibility of the Federal Reserve cutting interest rates again in the coming months

On January 16th, according to the Associated Press, the number of initial jobless claims in the United States increased last week, but the number of layoffs remains at a historic low, and the overall job market is healthy. The US Department of Labor announced on Thursday that the number of initial jobless claims increased by 14000 to 217000 for the week ending January 11th. The number of weekly applications for unemployment benefits is considered an indicator of layoffs. Despite some signs of a weak labor market in 2024, job opportunities remain abundant and layoffs are at a historic low. Last week, the US Department of Labor's non farm payroll report stated that employment growth surged in December and the unemployment rate decreased. Last month, employers added 256000 jobs and the unemployment rate dropped to 4.1%. The final employment report for 2024 emphasizes that even if interest rates are much higher than before the pandemic, the economy and recruitment can still grow at a steady pace. Therefore, after three interest rate cuts at the end of 2024, the likelihood of the Federal Reserve cutting rates again in the coming months is much smaller. (Golden Ten)