U.S. jobless claims fell 16,000 in latest week

WASHINGTON (Reuters) - The number of U.S. workers filing new claims for jobless benefits fell by 16,000 last week, and the number staying on the rolls after collecting an initial week of aid also fell, the government said in a report on Thursday.

Initial claims for state unemployment insurance fell to 614,000 in the week ended June 27 from an upwardly revised 630,000 the prior week, the Labor Department said. Economists had expected claims to fall to 615,000 from an initially reported 627,000. Claims had risen in the prior two weeks.

Continuing claims for the week ended June 20 fell for only the third week this year, to 6.702 million from an upwardly revised 6.755 million the prior week. Analysts had expected continuing claims at 6.74 million.

The four-week moving average of weekly claims, considered an important gauge of labor market health because it irons out weekly volatility, fell 2,750 to 615,250, the lowest level since the week ended February 7.

(Reporting by David Lawder; Editing by Andrea Ricci)