The JOLTS data point to a labor market that has normalized: economists

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The JOLTS data point to a labor market that has normalized: economists

The latest Job Openings and Labor Turnover Survey indicated a slight easing in the labor market, with job openings in June registering at 8.18 million, a modest decline from the revised May figure of 8.23 million.

Moreover, the data for May was revised upwards by 90,000, suggesting a firmer labor market than initially reported. The layoff and discharge rate in June dipped to 0.9%. "Overall, the Fed will likely read this set of data as consistent with the labor market further rebalancing, with continued weakening in hires supporting the assessment that the balance of risks is shifting in a way that favors a 25bp cut in September, but without the cracks – layoffs are very low – that would call for more aggressive or immediate easing," Evercore ISI economist Marco Casiraghi said in a note.

 

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