Jobless claims increased by 28,000 filings to 326,000 for the week ended May 17, the U.S. Department of Labor reported.

This is up from last week’s revised figure of 298,000.

Meanwhile, the 4-week moving average dipped to 322,500, a decrease of 1,000 from the previous week's revised average of 323,500.

“The May 17 week is the sample week for the monthly employment report and a comparison with the sample week for the April employment report is not favorable," analysts with Econoday said.  

"The weekly level of 326,000 is 21,000 higher from the April 12 week with the 4-week average more than 10,000 higher, at 322,500 vs 312,000," Econoday continued.