There were mixed signals about the US economy from two separate sets of figures released today, with news of a continuing improvement in the jobs market offset by slowing growth in manufacturing.
An industry report showed that the pace of growth in the US manufacturing sector unexpectedly slowed in February.
The Institute for Supply Management said its index of national factory activity fell to 52.4 from 54.1 in January. The figure was below economists' expectations for a slight rise. The unexpected slowing broke three straight months of quickening growth in the sector.
A reading below 50 indicates contraction in the manufacturing sector, while a number above 50 means expansion. The new orders part of the index fell to 54.9 from 57.6.
Jobless claims figure falls again
Official figures show that new claims for US unemployment benefits fell slightly last week, in fresh evidence of a continued improvement in the country's troubled labour market.
A total of 351,000 initial jobless claims were filed in the week ending February 25, a decline of 2,000 from the previous week's upwardly revised number of 353,000, the Labor Department said.
Claims have been moving downward since the middle of last year and are now at levels last seen in March 2008.
The trend was seen in the four-week moving average, which helps smooth volatility in the weekly numbers. The average dropped by 5,500 from the previous week to 354,000.
In January, the US unemployment rate fell for the fifth straight month, to 8.3%, the lowest level since February 2009. A recent series of positive employment reports has led some analysts to predict the jobless rate will fall again when the Labor Department releases its February job report on March 9.
