U.S. initial jobless claims fell by 1,000 to a seasonally adjusted 197,000 in the week ended Sept. 19, below economists' 201,000 forecast and near levels last seen in the late 1960s. The prior week's total was revised up to 198,000 from 196,000, while the four-week moving average declined by 1,750 to 202,250. Continuing claims rose by 2,000 to 1.719 million in the week ended Sept. 12, though they remained close to lows last reached in May 2023. The figures indicate layoffs remain scarce and the labor market has steadied after a softer summer period, even as employers remain cautious about expanding payrolls. The Federal Reserve raised its benchmark rate by 25 basis points to 3.75%-4.00% last week, its first increase in three years, and CME's FedWatch tool showed market participants assigning about 64.2% odds to another increase at the next meeting.