A sign advertising jobs for bus drivers is posted in Palatine, Ill., Wednesday, Sept. 13, 2023. On Thursday, the Labor Department reports on the number of people who applied for unemployment benefits last week. (AP Photo/Nam Y. Huh)

U.S. applications for unemployment benefits fell to their lowest level in eight months last week as the labor market continues to show strength in the face of elevated interest rates.

U.S. applications for jobless claims fell by 20,000 to 201,000 for the week ending Sept. 16, the Labor Department reported Thursday. That’s the lowest figure since the last week of January.

Jobless claim applications are seen as representative of the number of layoffs in a given week.

The four-week moving average of claims, a less volatile measure, fell by 7,750 to 217,000.

Overall, 1.66 million people were collecting unemployment benefits the week that ended Sept. 9, about 21,000 fewer than the previous week.