US jobless claims fell by 5,000 to a seasonally adjusted level of 213,000 in the week ending Sept. 10, the lowest level since the end of May. There were 11.2 million vacancies at the end of July, with two jobs available for every unemployed person.
A separate report showed that US retail sales unexpectedly rebounded in August, as Americans bought cars and went to restaurants more with lower gasoline prices, but demand for goods slowed as the Federal Reserve raised interest rates sharply.
However, consumer spending is likely to remain underpinned by continued labor market strength, especially with separate data released on Thursday showing that the number of people filing new applications for unemployment benefits last week fell to its lowest level in more than three months.
The strength of the labor market, along with the sudden increase in consumer prices in August, is likely to give the US central bank a stronger impetus to raise interest rates for the third time in a row by 75 basis points next Wednesday.
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