01:21 PM EST, 01/16/2025 (MT Newswires) -- Weekly applications for unemployment insurance in the US increased more than projected, while continuing claims dropped, government data showed Thursday.

The seasonally adjusted number of initial claims rose by 14,000 to 217,000 in the week ended Jan. 11, according to the Department of Labor. The consensus was for a 210,000 print in a survey of analysts compiled by Bloomberg. The previous week's reading was revised up by 2,000 to 203,000.

The four-week moving average came in at 212,750, dropping by 750 from the previous week's average, which was revised up by 500 to 213,500. Weekly unadjusted claims grew by 45,228 to 351,885.

For the week ended Jan. 4, seasonally adjusted continuing claims totaled 1.86 million, compared with the Bloomberg consensus of 1.87 million. Continuing claims fell by 18,000 from the prior week's level, which was revised up by 10,000. The four-week moving average came in at 1.87 million, decreasing by 1,250 from the prior week's upwardly revised average, according to the DOL.

Last month, the Federal Reserve reduced its benchmark lending rate by 25 basis points and flagged fewer cuts ahead than projected in September. The Federal Open Market Committee's Summary of Economic Projections at the time showed that policymakers lowered their unemployment rate expectations for 2024 and 2025.

Minutes of the FOMC's December meeting released earlier this month showed that members expected labor market conditions to remain solid under "appropriate" monetary policy. Some members indicated the labor market could "soften further," according to the meeting minutes.

The largest gains in initial jobless claims for the week ended Jan. 4 were in New York, at 22,233, followed by Georgia and Texas, according to DOL data released Thursday. Michigan and New Jersey led the decreases.

On Friday, official data showed the US economy added more jobs than expected in December, while the unemployment rate bucked Wall Street's expectations and moved down.