US weekly jobless claims total 200,000, below forecast

U.S. initial jobless claims for last week totaled 200,000, coming in below the forecast of 205,000. Weekly jobless claims are a key metric the Federal Reserve uses to gauge the labor market when making interest rate decisions. A higher-than-expected reading can signal that companies are increasing layoffs, indicating a cooling labor market and potentially giving the Fed a reason to cut interest rates. Conversely, a lower-than-expected figure suggests a robust labor market, which could allow the Fed to maintain its focus on curbing inflation by holding or raising rates.