Unemployment rates fell in less than half of U.S. states last month, as steady but slow hiring is making only gradual improvement in the job market.

The number of Americans seeking unemployment aid plummeted to a five-year low last week, a hopeful sign the job market may be improving. But much of the decline reflects seasonal volatility in the data.

U.S. employers advertised about the same number of jobs in November as in October, suggesting hiring will stay modest over the next few months.

Unemployment rates fell below 7 percent in a majority of U.S. cities in November, suggesting steady job gains are benefiting most parts of the country.

U.S. employers added 155,000 jobs in December, a steady gain that shows hiring held up during the tense negotiations to resolve the fiscal cliff.

More Americans sought unemployment benefits last week, though the winter holidays likely distorted the data for the second straight week.

The average number of people seeking U.S. unemployment benefits over the past month fell to the lowest level since March 2008, a sign that the job market is healing.

The economic threat that's kept many Americans on edge for months is nearing reality unless the White House and Republicans cut a budget deal by New Year's Day.