12:19 PM EDT, 08/29/2024 (MT Newswires) -- Weekly applications for unemployment insurance in the US decreased, government data showed Thursday, with Oxford Economics suggesting that layoffs remain low.

The seasonally adjusted number of initial claims declined by 2,000 to 231,000 in the week ended Aug. 24, according to the Department of Labor. The consensus was for a 232,000 level in a survey of analysts compiled by Bloomberg. The previous week's reading was revised up by 1,000 to 233,000.

The four-week moving average came in at 231,500, falling by 4,750 from the prior average that was revised upwards by 250. Unadjusted claims moved down by 628 on a weekly basis to 191,835.

"After being inflated by severe weather and seasonal factors in July, initial jobless claims in August are stabilizing at a slightly lower level, another indication that layoffs remain low," Oxford Economics Lead US Economist Nancy Vanden Houten said in remarks emailed to MT Newswires. "Continued jobless claims, which track initial claims over time, are also stabilizing."

For the week ended Aug. 17, seasonally adjusted continuing claims totaled 1.87 million, virtually in line with the Bloomberg consensus. Continuing claims advanced by 13,000 from the previous week's average, which was revised down by 8,000. The four-week moving average came in at 1.86 million, down by 250 from the prior week's downwardly revised average, according to the DOL.

"Typically, when claims or the unemployment rate start to rise, they tend to rise quickly," Jefferies Economist Thomas Simons said in a note. "The slower than average pace of increase in recent months is a sign that the labor market is normalizing rather than weakening."

Florida saw the highest increase in initial claims for the week ended Aug. 17, at 2,153, followed by California and Indiana. The largest decrease was in Michigan, where claims declined by 2,847, followed by Texas with 1,952 and New Jersey with 1,010.

"The (Federal Reserve) has committed to a rate cut in September to guard against labor market weakness, but there is nothing in the claims data to warrant more than a (25-basis-point) cut," according to Vanden Houten.