The four-week average of initial jobless claims dipped below 200,000 for the week ending Aug. 1.

… remained essentially unchanged from June. At the same time, job-seeking intensity — measured by applications per applicant — increased, suggesting competition is increasing for a limited number of roles. While hiring remains stagnant, layoffs recently hit their lowest level in two years, recent data shows . Separate data released Thursday shows weekly unemployment claims remain historically low. The four-week average of initial jobless claims dipped below 200,000 for the week ending Aug. 1, marking the first time it has fallen below that threshold since October 2022, according to PNC Economics. "Although the hiring rate is low, the unemployment rate remains steady because layoffs are also low," Fed Governor Lisa Cook said during an event at the Anchorage Economic Development Corporation on Wednesday. Americans with jobs are facing their own set of challenges. A new CBS News analysis of Census data found that while the typical American's wages have steadily increased since 2019, those gains have largely been offset by rapidly climbing consumer prices. What does this mean for the Federal Reserve? The unexpected job loss in July could ease pressure on the Federal Reserve to raise interest rates at its next meeting, which is scheduled for Sept. 15-16, Ellen Zentner, chief economic strategist for Morgan Stanley Wealth Management, said in an email. Inflation data expected next week will be the "deciding factor," she said. "If those numbers come in hotter than expected, a cooler labor market may not be enough to quiet the calls for hikes inside the Fed, or lower expectations outside of it," Zentner said. The central bank has held interest rates steady for five consecutive meetings. However, some Fed officials have signaled they are open to raising rates to tame inflation, which remains well above the central bank's 2% target rate. At the most recent Fed meeting in July, three Federal Open Market Committee members voted to raise rates, while nine voted to hold rates steady. Edited by Aimee Picchi More from CBS News Job cuts plunge to a 2-year low despite AI fears, economic shocks Here's how much interest a $75,000 1-year CD can earn savers now Entrepreneurship is booming in the U.S. Gen Zers are leading the way. How much interest can a $10,000 3-year CD earn if opened now? Go deeper with The Free Press The Fauci Diaries ‘Reverse Racism’ in Employment and Admissions Is Still Racism In: Employment Jobless Claims Bureau of Labor Statistics © 2026 CBS Interactive Inc. All Rights Reserved. Bleak U.S. jobs report released U.S. economy lost 23,000 jobs in July, new report shows 01:35 U.S. economy lost 23,000 jobs in July, new report shows (01:35) Job cuts plunge to a 2-year low despite AI fears, economic shocks Here's how much interest a $75,000 1-year CD can earn savers now Entrepreneurship is booming in the U.S. Gen Zers are leading the way. The Fauci Diaries Featured SpaceX Rocket Collision Iran War Latest NFL Training Camp Injuries MLB Trade Deadline Tracker Follow Us On YouTube Facebook Instagram X Privacy Privacy Policy California Notice Your Privacy Choices Terms of Use Minors' Privacy Policy More from CBS News Newsletters Podcasts Download Our App Brand Studio Sitemap Company About Paramount Advertise With Paramount Join Our Talent Community Help Feedback Contact the Ombudsman Copyright ©2026 CBS Interactive Inc. All rights reserved. View CBS News In CBS News App Open Chrome Safari Continue