U.S. Unemployment Claims Fell to 498,000 Last Week

Weekly unemployment claims fell to 498,000 last week—a new low since the Covid-19 pandemic began more than a year ago—in a fresh sign that the labor-market rebound is gathering force.

Worker filings for jobless claims, a proxy for layoffs, fell 92,000 last week from 590,000 the prior week. That brings the four-week average of initial claims, which smooths out volatility in weekly data, to the lowest point since the pandemic took hold, though still well above pre-pandemic levels.

“Overall it looks like we’re seeing healing in the jobs market,” said...