Unemployment claims drop for 4th time in 5 weeks

WASHINGTON - Applications for unemployment benefits fell last week for the fourth time in five weeks, a sign that layoffs are declining.

The Labor Department says initial claims for jobless aid dropped by 11,000 to a seasonally adjusted 445,000. It's the lowest level since the week ending July 10. Wall Street analysts had expected a small increase.

Weekly applications have rarely fallen below 450,000 this year, and never for longer than two weeks. Economists say that a sustained drop below 425,000 would signal employers are stepping up hiring.

The four-week average of new claims, a less volatile measure, dropped to 455,750, the sixth straight decline.

The claims report is considered a measure of the pace of layoffs and an indication of companies' willingness to hire.