New unemployment claims in Florida dip again but rise slightly nationwide

New applications for unemployment assistance in Florida dipped again, the U.S. Department of Labor reported Thursday. Claims for first-time benefits in Florida stood at 35,829 for the week ending Sept. 19. That’s 1,436 fewer claims than the week prior.

Nationally, 870,000 people filed for first-time claims last week, a slight rise from the week prior.

“In general we’re seeing an encouraging overall downward trend in terms of new unemployment claims. But I would be very cautious with the fact the number of regular claims has been fairly steady. That’s concerning because it points to a labor market that is still quite fragile, and one that is not in the best position as we enter the flu season and the election season,” said Gregory Daco, chief economist for the forecasting firm Oxford Economics. “There are a number of headwinds on the horizon.”

He pointed to several factors detrimental to business investments: an economy running low on fiscal fuel as stimulus checks expired, a potential second wave of infections in the colder months, and an uncertain election.

“Our baseline scenario, which has fiscal stimulus, sees the labor market taking until the end of 2023 to recoup its previous levels,” Daco said.

This story was originally published September 24, 2020 at 9:17 AM.