US jobless claims fall to 209,000 while inflation hits 3.8%

Business May 21, 2026

Unemployment claims in the US dropped to 209,000 last week, lower than expected and a sign that layoffs are steady.
But even with fewer people filing for benefits, hiring isn't picking up much.
Rising prices, especially for energy since February, pushed inflation to 3.8% in April, the biggest jump in three years.

Oil surge weakens hiring, Fed cautious

With oil prices soaring more than 50%, businesses are feeling the pinch and new jobs are harder to come by.
Job growth slipped below 200,000 last year after a big boom in 2024.
The Federal Reserve is keeping interest rates steady for now, but says they might go up later this year if inflation stays high or global tensions continue.