New jobless claims rise — but holiday may be to blame

Despite growing evidence that the job market is at last picking up, new jobless claims rose by more than expected last week.

Applications for first-time unemployment benefits went up to 397,000--a rise of 26,000--according to Labor Department numbers. Economists in a Bloomberg survey had predicted a they'd increase more modestly, to 376,000.

But some are attributing the rise to volatility around the President's Day holiday. Claims usually rise the week after a federal holiday, a Labor Department official told Bloomberg.

Jonathan Basile of Credit Suisse Holdings USA agreed. "The swings around this moving holiday sometimes distort the trend," he told Bloomberg. "The labor market has been improving."

In other words, it's probably best not to read too much into this.

(State of California Employment Program Representative Brigitta Croil helps Freddy Gomez look for a driver job at a job center in Glendale, Calif., Feb. 3, 2011.: Damian Dovarganes/AP)