Jobless claims are dropping.

CNN Money is reporting that the number of Americans filing for their first week of unemployment benefits fell below 400,000 for the first time in more than two years. This drop suggests an improvement in the job market. The number of initial claims fell to 388,000 in the week ending Dec. 25, down 34,000 from an upwardly revised 422,000 claims filed the week before, the Labor Department said Thursday. That's the lowest level of claims since the week ending July 12, 2008, when there were 385,000 initial filings. The downward trend in unemployment claims needs to be matched by an upward trend in hiring. Nonetheless, we'll celebrate the small victories.

Read more at CNN Money.