U.S. weekly jobless claims come in at 203,000, below estimates

U.S. initial jobless claims totaled 203,000 last week, below market expectations of 208,000. Weekly jobless claims are one indicator the Federal Reserve uses to gauge labor market conditions when setting interest rates. A reading above forecasts can signal rising layoffs and a cooling labor market, potentially supporting the case for a rate cut, while a reading below estimates can point to labor market resilience and give the Fed room to keep rates unchanged or raise them while focusing on curbing inflation.