Weekly unemployment claims hit four-year low

The federal government will release figures for February unemployment levels on March 9 and, so far, economists are expecting job growth similiar to the 243,000 added in Janauary when the jobless rate dipped to 8.3 percent, the lowest level in about three years. 

On Wednesday, Federal Reserve Chairman Ben Bernanke said that despite the improvement, the labor market is still “far from normal.”

“The unemployment rate remains elevated, long-term unemployment is still near record levels and the number of persons working part-time for economic reasons is very high,” he said.

Weekly claims have been dropping since October, while monthly improvements kicked off at the end of the summer and have been steadily improving. 

A weekly average consistently below 375,000 signals a healthy job market and that hiring will lower unemployment, economists say.

The nation’s economy grew at a quicker rate at the end of 2011 than initially thought. 

The Commerce Department slightly upgraded gross domestic product in its second estimate of the figure, saying the economy grew 3 percent after offering an initial estimate in January of 2.8 percent growth in the final quarter of 2011.

The revision depicts an economy that seems to be gaining steam, following just 1.8 percent growth in the third quarter. The economy grew 1.7 percent overall during 2011. The new report marks the latest in a series of strong economic reports.

Still, most economists expect growth to slow during the first three months of this year.

Bernanke said the economy performed better than expected recently, boosted by a pickup in manufauturing, increased retail sales and a housing market that is showing signs of life. 

Still, the job market faces challenges ahead, especially with about 13 million unemployed, with millions of others giving up their search for work. Those workers aren’t included in government figures.

This story was updated at 9:30 a.m.