US Jobless Claims Fall, But Computer Problems Affect California

The data may not be trustworthy

U.S. jobless claims fell last week and mid-Atlantic factory activity kept growing in October, but a just-ended government shutdown as well as computer issues affecting the claims report impeded the data's value as signposts for the economy.

Initial claims for state unemployment benefits fell 15,000 to a seasonally adjusted 358,000, the Labor Department said on Thursday, slipping from a six-month high the prior week. But the figure was still elevated as California continued to deal with a backlog related to computer problems.

Economists polled by Reuters had expected first-time applications to fall to 335,000 last week.