The number of Americans filing new claims for unemployment benefits fell last week to nearly its lowest level since before the 2007-09 recession, a sign of growing steam in the U.S. labor market.
Initial claims for state unemployment benefits dropped 1,000 to a seasonally adjusted 287,000 in the week ended Oct. 4, the Labor Department said on Thursday.
The data adds to the view that some strength is building in the U.S. economy.
“The labor market is entering into a potential boom,” said Joseph LaVorgna, chief U.S economist at Deutsche Bank in New York.
Still, Federal Reserve officials remain concerned about persistently low rates of inflation and are not seen in a rush to hike interest rates.