The number of initial unemployment claims in the United States unexpectedly surged, marking the largest weekly increase in recent times.

Last week, initial unemployment claims rebounded significantly after Thanksgiving, increasing by 44,000 to 236,000, the largest increase since the outbreak of the pandemic in March 2020. The previous week's data was at a low not seen in over three years, indicating significant fluctuations in the job market as the year comes to a close.

Recently, several companies, including Pepsi and HP, have announced layoffs, with the number of layoffs nationwide in October being the highest since the beginning of 2023. The uncertainty in the labor market is affecting consumer confidence, with most respondents expecting the unemployment rate to rise in the coming year.