U.S. jobless claims declined further last week

The number of Americans seeking unemployment benefits dropped 10,000 last week to a seasonally adjusted 316,000, a sign that workers are in less danger of being laid off. The less volatile four-week average fell 7,500 to 331,750, the Labor Department said. Both the first-time weekly jobless claims and the average have returned to prerecession levels. Unemployment benefit applications are a proxy for layoffs. They have fallen in six of the past seven weeks. A government spokesman said there were no special factors that drove claims lower but cautioned that it can be difficult to seasonally adjust in late November because the Thanksgiving holiday occurs at different times each year.

Orders for durable goods down 2 percent

Businesses spent less last month on machinery, computers and most other items, lowering orders for U.S. long-lasting factory goods. The decline suggests companies may have been reluctant to invest during the 16-day partial government shutdown. The Commerce Department said that orders for durable goods dropped 2 percent in October from September. That follows a 4.1 percent increase in September from August. Durable goods are meant to last at least three years. Demand for commercial aircraft plunged nearly 16 percent last month, accounting for much of the decline. But orders also fell 1.2 percent in a closely watched category, known as core capital goods, which excludes volatile transportation and defense orders.

Average mortgage rates tick up but still low

Average U.S. mortgage rates rose modestly this week, a move that makes home-buying a bit less affordable. Still, rates remain near historically low levels. Mortgage buyer Freddie Mac said that the average rate on the 30-year loan increased to 4.29 percent from 4.22 percent last week. The average on the 15-year fixed ticked up to 3.3 percent from 3.27 percent. Rates have risen nearly a full percentage point since May after the Federal Reserve signaled it might slow its bond purchases by the end of the year. Rates peaked at nearly 4.6 percent in August. But the Fed held off in September and most analysts expect it won't move until next year.

FROM NEWS SERVICES