New claims for unemployment benefits increased by 5,000 to 245,000 last week, indicating that the U.S. labor market is losing its momentum as the Fed eases its year-long interest rate hiking policies. Continuing claims rose 61,000 to 1.86 million. Banks have tightened lending, making it harder for households and small businesses to access credit. Economists predict that this may be the high point for initial claims over the near term, and employment growth remains strong, which should allow the US central bank to raise rates next month before possibly halting rate increases.