The labor market is resilient and layoffs remain limited.

According to reports, Jefferies economist Thomas Simons wrote in a report that the initial claims data did not show that the labor market is rapidly weakening. The lateral fluctuations in initial and continuing claims over the past few months indicate that layoff activity remains limited. The "no hiring/no firing" characteristic of the labor market remains firmly in place. The latest unemployment benefit data corresponds to the reference week of the August non-farm payroll report, which will be released in early September. Simons pointed out that since the reference week in July, the number of initial claims has increased by 14,000, but the four-week moving average has decreased by about 5,000.