Jobless figure lifts confidence in US recovery

Other data released yesterday underscored the firming tone in the US economy, with consumer sentiment scaling a six-month high in December and a barometer of future activity rising more than expected last month.

The claims figures helped to take the sting out of a separate report from the US commerce department showing that gross domestic product grew at a 1.8 per cent annual rate in the third quarter.

Growth, which had previously been reported to have expanded at a 2 per cent pace, was held back by a sharp drop in healthcare spending. Spending on durable goods was stronger than previously estimated.