INSTANT VIEW: Jobless claims, personal spending rise

NEW YORK (Reuters) - The number of U.S. workers filing initial claims for unemployment benefits rose a bigger-than-expected 35,000 last week, and the number of workers remaining on jobless benefits climbed to a four-year high, the Labor Department said on Thursday.

U.S. personal spending rose by 0.4 percent in March, twice as much as forecast and despite a cooling economy, while a key inflation measure was up by a bit more than expected, government data showed on Thursday.

KEY POINTS:

JOBLESS CLAIMS * Initial claims for jobless benefits increased to a seasonally adjusted 380,000 in the week ended April 26, from a revised 345,000 the previous week. * Analysts polled by Reuters had expected claims to rise to 360,000 from an initially reported 342,000. * The four-week moving average of new claims, a more reliable guide to underlying labor trends because it irons out weekly fluctuations, fell last week to 363,750 from a revised 370,250.

PERSONAL SPENDING * Economists polled by Reuters had forecast personal spending to rise 0.2 percent compared with 0.1 percent gain the previous month as the U.S. housing crisis chilled economic activity and pinched consumers. * The Commerce Department said that personal income was up 0.3 percent in March, slightly under forecasts for a 0.4 percent rise and after a 0.5 percent February gain. * But adjusted for inflation, income stagnated after increasing by 0.3 percent in February.

COMMENTS:

ANDREW RICHMAN, MANAGING DIRECTOR, SUNTRUST'S PERSONAL ASSET MANAGEMENT DIVISION, WEST PALM BEACH, FLORIDA: