The Government also reported jobless claims rose by 3,000 last week to 327,000.

For the same week in 1990, there were 373,000 new jobless claims.

Jobless claims also fell last week to their lowest level in more than a year.

Last week's level of jobless claims was the lowest since late July 1997.

American weekly jobless claims just hit 417,000, some 10,000 more than expected.

But others said it was too soon to tell, adding that next week's jobless claims would be a critical number to watch.

For the week ended last Saturday, jobless claims rose 97,000, to 413,000.

A decline in initial jobless claims to a 26-year low also showed how hot the economy is.

There was little response to an expected decline in the initial jobless claims data.

Jobless claims hit about 500,000 a week last year in the midst of the recession.