Shattering hopes that the United States would cruise into a strong economic recovery, initial jobless claims last week rose past predictions.
An astounding 419,000 people filed for jobless claims for the first time during the week ending in July 17, CNBC reported.
The Dow Jones expectation was 350,000 initial claims — well below what the actual numbers turned out to be.
Although this number is still much lower than during the early months of the pandemic, this is the highest weekly amount since May 15.
Bankrate senior economic analyst Mark Hamrick assured that this report will not kill economic recovery.
“Recovery is never a perfect straight line,” he said.
While unemployment is well under the pandemic number of 33 million from about a year ago, there are still more than 12.5 million Americans receiving some sort of assistance, also according to CNBC.