US jobless claims drop to 328,000

The number of Americans filing initial claims for jobless benefits fell to 328,000 last week, the lowest in more than three years, a government report showed.

Initial claims dropped by 14,000 from 342,000 the week before, the Labour Department said in Washington.

Last week’s filings were the fewest since 320,000 in the week ended January 13, 2001, before President George W Bush took office. Claims have averaged 349,700 this year, down from 402,100 for all of 2003.