Is the Job Market Improving?

Although the economy remains weak and supported by historic central bank monetary actions, the number of Americans filing new applications for unemployment benefits dropped to a six-week low.

According to the Labor Department, initial claims for state unemployment benefits fell 7,000 to a seasonally adjusted 340,000 in the week ended March 2. It was the second consecutive week of improvement, and the lowest level since January 19. The number of claims have now declined in four of the past five weeks. Jobless claims for the previous week were revised slightly higher from 344,000 to 347,000.

The weekly jobless numbers can be quite volatile, but the four-week moving average also fell 7,000 to 348,750, which is the lowest level since March 2008. However, overall job creation remains low. In January, employers added 157,000 jobs and the unemployment rate came in at 7.9 percent.