Below expectations! The number of initial jobless claims in the United States last week held steady at 200,000, showing resilience in the labor market at the beginning of the year.

Last week, the number of initial claims for unemployment benefits in the United States remained almost unchanged, staying at a low level after a turbulent holiday season. According to data released by the US Department of Labor on Thursday, the number of initial claims for unemployment benefits increased by 1,000 people to reach 200,000 in the week ending January 17, lower than the economists' prediction of 210,000 people, indicating that the labor market maintained stable employment growth pace in January. It is understood that the data is facing seasonal adjustment issues as the year-end holidays transition into the new year, leading to significant fluctuations in recent initial jobless claims data. However, looking beyond this apparent volatility, it can be seen that the labor market is still maintaining a stable state of "low hiring, low firing" as described by economists and policymakers. Analysis points out that President Trump's comments on tariffs and immigration policies, like a double-edged sword, have both reduced demand in the labor market and suppressed supply. At the same time, large-scale investments by businesses in Artificial Intelligence technologies have created uncertainty in their future workforce needs, leading to constraints in hiring activities. Furthermore, the timeframe covered by the data released aligns with the period when the government conducts the Non-Farm Payrolls survey for the January employment report. Looking back at December last year, the non-farm employment added 50,000 jobs, roughly in line with the monthly average job growth for 2025. However, it is worth noting that the annual data benchmark revisions to be released next month alongside the January employment report may indicate a weakening trend in employment growth that began as early as 2024. The report data shows that in the week ending January 10, the number of ongoing claims for unemployment benefits decreased by 26,000, reaching 1.849 million after seasonal adjustments, the lowest level since November last year. This decrease in numbers may be due to some individuals exhausting their maximum 26-week eligibility for receiving unemployment benefits. Consumer surveys further indicate that unemployed individuals are facing challenges in finding new job opportunities, highlighting the severe challenges brought about by structural changes in the labor market.