Fewer people applied for U.S. unemployment benefits last week, with 197,000 claims reported—the lowest since mid-July and a decrease from the revised 198,000 claims the previous week. The four-week average of claims also dropped to 202,250, down from 204,000. These claims, which represent people seeking financial assistance after losing their jobs, serve as an indicator of the health of the job market. Economists closely track them to gauge trends in employment and potential economic shifts. This year, unemployment claims have mostly remained below 220,000, a historically low level. Despite rising energy prices that have put pressure on both businesses and consumers since tensions with Iran began on February 28, the American job market has shown resilience. Companies are hesitant to lay off workers, recalling the labor shortages that occurred after pandemic-related lockdowns ended. While hiring is happening, it has been modest compared to previous years. Employers have added an average of 80,000 jobs per month so far this year, with a notable increase of 162,000 jobs in August. The Labor Department will release the official jobs report for September next week. Analysts expect the report to show that employers added approximately 52,500 jobs in September and that the unemployment rate stayed at 4.1%, according to a survey by the data firm FactSet. However, the current hiring pace remains significantly below the average of 166,000 jobs per month recorded in 2023 and 2024. It also falls far short of the 491,000 jobs added monthly during the hiring boom from 2021 to 2022, which followed the end of the pandemic lockdowns. The slower hiring suggests that while the job market remains stable, it is not experiencing the rapid growth seen in earlier years.