It was the highest level of claims since the week to November 19.

Economists expected claims to inch lower by 2,000 to 318,000.

Claims in the previous week were revised to a decrease of 16,000 to 321,000 compared with the initial estimate of a fall of 17,000 to 320,000.

The four-week average of initial claims fell 250 to 322,500.

A Labor Department official said 7,000 claims in the latest week were related to hurricanes Katrina and Rita, bringing the total number of claims filed because of the two hurricanes to 569,000.

The official said it is unusual for claims to continue to be filed so long after the hurricanes struck the Gulf Coast in late August and September.

Hurricane Wilma has had a smaller impact on the labor market, with only 700 claims filed in the latest week, bringing the total to 30,700.

All rights reserved. � 2005 Agence France-Presse. Sections of the information displayed on this page (dispatches, photographs, logos) are protected by intellectual property rights owned by Agence France-Presse. As a consequence, you may not copy, reproduce, modify, transmit, publish, display or in any way commercially exploit any of the content of this section without the prior written consent of Agence France-Presse.