Data for the prior week was revised to show 5,000 fewer applications filed than previously reported.
Unadjusted claims rose 19,385 to a still-low 171,562 last week.The claims report covered the period during which the government surveyed businesses for the nonfarm payrolls portion of September's employment report.The claims report showed the number of people receiving benefits after an initial week of aid decreased 22,000 to 1.379 million in the week ending Sept.Data next week on the so-called continuing claims, a proxy for hiring, will shed more light on September's employment picture.
The Fed on Wednesday raised its median forecast for the unemployment rate this year to 3.8% from its previous forecast of 3.7% in June.The jobless rate rose to 3.7% in August from 3.5% in July.
"Historically, an increase in the unemployment rate of this magnitude over a year has been followed by a recession," said Ryan Sweet, a senior economist at Moody's Analytics in West Chester, Pennsylvania.