Initial claims for unemployment benefits fell by 16,000, to 199,000, well below what economists were expecting. It’s the second-lowest reading in the last two years.
The drop in unemployment claims is good news, but other indicators show that few jobs have been created over the past few months — a trend likely to continue in 2026.
Investment in artificial intelligence companies and data centers helped boost the U.S. economy’s growth in the third quarter, a sector that has not felt much impact from the president’s tariffs.