US initial jobless claims rose to a level of 206,000 in the week ended Aug. 29 from an upwardly revised 204,000 level in the previous week, compared with expectations for an increase to 205,000 in survey of analysts compiled by Bloomberg.
The four-week moving average rose by 1,500 to 207,250 after increasing by 1,500 to a level of 205,750 in the previous week.
Insured jobless claims were up 8,000 to 1,779,000 in the week ended Aug. 22.
The weekly initial jobless claims data released by the US Labor Department measures filings for unemployment insurance benefits. Initial filings are reported through the previous Saturday, while those already on benefits are measured with a one-week lag.
A decrease in claims suggests a stronger labor market, a positive for the US economy and stocks, but a negative for bonds as it suggests wage growth that could lead to inflation.