U.S. weekly jobless claims drop to 186,000

(Kitco News) The initial weekly jobless decreased by 6,000 to 186,000 in the week to Saturday, surprising the markets with another slight drop.

Economists’ consensus calls projected for initial claims to rise to 205,000 from the previous week’s revised level of 192,000.

The four-week moving average for new claims – often viewed as a more reliable measure of the labor market since it flattens week-to-week volatility – declined by 9,250 to 197,500. The previous week’s four-week moving average was revised up to 206,750, the U.S. Labor Department said on Thursday.

Continuing jobless claims, which represent the number of people already receiving benefits, were at 1,675,000 during the week ending January 14, an increase of 20,000 from the previous week’s revised level of 1,655,000.

The four-week moving average dropped to 1,664,250, a decline of 10,750. And the previous week’s four-week moving average was revised up by 2,000 to 1,675,000.

Traders watch the jobless claims data very closely to gauge its impact on the Federal Reserve’s employment side of the monetary policy mandate.

Gold fell slightly after the release but managed to quickly gain back some of its immediate losses. February Comex gold futures were last trading at $1,934 an ounce, down 0.44% on the day.