The U.S. labor market stumbled in early October.
After spending several weeks in a rut, barely improving, U.S. jobless claims moved higher in the week ending October 10 to 898,000.
That is 53,000 claims above the prior week’s level. Economists had expected claims to decline to 830,000.
Hopes for an economic support package from Congress have been dashed by House Speaker Nancy Pelosi’s determination not to do a deal with the Trump administration before election day.
Airlines have started laying off thousands of workers due to lack of demand for flights. A deal that had provided them with billions of funding in exchange for keeping workers on the payroll expired at the end of September.
Claims hit a record 6.87 million for the week of March 27. Until a month ago, each subsequent week had seen claims decline. But in late July, the labor market appeared to stall and claims