The number of Americans filing new claims for jobless benefits was steady last week and the trade deficit narrowed slightly in August, indicating a mild improvement in the economy.
Initial claims for state unemployment benefits dipped 1,000 to a seasonally adjusted 404,000, the Labor Department said. This was just below economists' expectations for 405,000.
Initial jobless claims have circled around the 400,000 mark usually associated with some improvement in the jobs market for three weeks. In addition, the four-week moving average, considered a better measure of labor market trends, fell 7,000 to 408,000 last week.
US trade gap with China at record high
Official figures show that the US trade deficit narrowed marginally in August, but the trade gap with China widened to a record high.
The Commerce Department said the trade gap totalled $45.61 billion, down slightly from a revised $45.63 billion in July. Analysts had expected the deficit to widen to $45.8 billion in August.
US exports fell 0.1% to $177.6 billion. Total imports were about flat, with imports from China rising to a record high $37.4 billion.
