Beijing, Jan. 23 (Xinhua) the number of people applying for unemployment benefits for the first time in the United States last week was lower than expected, the latest sign that the labor market is strong enough to continue to maintain consumption and boost economic expansion.

First-time jobless claims rose 6000 to 211000 in the week ended Jan. 18, according to figures released by the Labor Department on Thursday. Economists surveyed by Bloomberg had a median estimate of 214000. The less volatile four-week average fell to 213250, the lowest since the end of September.

Important insights

Recent trends in initial jobless claims suggest that companies are reluctant to cut headcount at a time when unemployment is at its lowest level in 50 years and it is difficult to recruit staff.

In the week before the Martin Luther King holiday, initial jobless claims were estimated in six states and Puerto Rico.

The data is in line with the Fed's view that the US job market remains tight. The Fed's latest beige book shows that several regions have reported a shortage of workers in the Fed's jurisdiction.