The US Labor Department has revised downward its estimate of total payroll employment in March 2023, revealing a slightly cooler labor market than previously thought, which may influence the Federal Reserve's decision on interest rates at their upcoming policy meeting in September.
The Bank of Canada may shift its focus from the output gap to labor market indicators, such as unemployment and wages, in order to make inflation forecasts and guide its interest rate decisions, according to a report by CIBC economists. The report suggests that the labor market has become a more reliable indicator of excess demand or supply, and forecasts that if the job market outlook suggests it's not necessary, there may be no more rate hikes this year and rate cuts in early 2024.
Employment growth in the US likely cooled and wage increases moderated in August, reducing the urgency for another interest-rate hike by the Federal Reserve and tempering inflation risks.
Investors are eagerly awaiting news about the health of the US labor market, with reports on job openings, labor turnover, employment, and job cuts expected this week, as the Federal Reserve aims to cool the economy to fight inflation caused by higher labor costs.
Wall Street is calm ahead of key economic reports that could provide insight into the job market, inflation, and potential interest rate changes by the Federal Reserve, while consumer confidence and job opening reports are expected to remain strong in August.
The number of job vacancies in the US dropped in July, indicating a cooling labor market that could alleviate inflation, while fewer Americans quit their jobs and consumer confidence in the economy decreased, potentially impacting consumer spending; these trends may lead the Federal Reserve to delay a rate hike in September.
The Federal Reserve is considering raising interest rates again in order to reduce inflation to its targeted levels, as indicated by Fed Governor Michelle W. Bowman, who stated that additional rate increases will likely be needed; however, conflicting economic indicators, such as job growth and wage growth, may complicate the decision-making process.
The rate of people quitting their jobs has returned to pre-pandemic levels, indicating a decline in workers' advantage and a cooling labor market influenced by the Federal Reserve's interest rate hikes, which have led to worsening job prospects and decreased consumer confidence.
The US jobs data for July suggests a cooling employment market, with a drop in labor demand and easing of hiring conditions, which could help lower inflation without a significant rise in unemployment rates.
The U.S. jobs market shows signs of cooling as Labor Day approaches, giving investors relief from concerns about a potential Federal Reserve interest rate hike. However, global market rally and uncertainty around China's market rebound indicate that risks still persist.
Hiring by U.S. companies slowed more than expected in August, signaling a cooling labor market in response to higher interest rates, with companies adding 177,000 jobs, below economists' predictions and the lowest level since March.
The former president of the Boston Fed suggests that the Federal Reserve can stop raising interest rates if the labor market and economic growth continue to slow at the current pace.
Investors are hoping for a positive August jobs report to maintain the tight labor market and avoid further interest rate hikes by the Federal Reserve.
The August jobs report is expected to show steady job growth and a stable unemployment rate, suggesting that the current "Goldilocks" labor market could be sustained for a long time, but concerns remain about cooling economic growth, rising debt, and the risk of reaccelerating inflation.
Federal Reserve officials are closely monitoring employment numbers to assess if the economy's momentum is slowing, which will influence their decision on whether to increase interest rates further.
The US added 187,000 jobs in August, but the unemployment rate rose to 3.8 percent, indicating a plateau in the labor market as the Federal Reserve considers another interest rate hike.
The US job market shows signs of slowing but remains resilient, with 187,000 jobs added in August and a rise in the unemployment rate to 3.8%, as more people actively look for work. Wage gains are easing, signaling a potential slowdown in inflation, and the Federal Reserve may decide against further interest rate hikes.
The August jobs report showed solid hiring, with employers adding 187,000 payroll positions, but the unemployment rate unexpectedly jumped and wage growth eased, leading to speculation that the Federal Reserve may have hiked interest rates for the last time.
The latest inflation data suggests that price increases are cooling down, increasing the likelihood that the Federal Reserve will keep interest rates unchanged in their upcoming meeting.
BlackRock's Rick Rieder suggests that the Federal Reserve can now end its inflation fight as the labor market in the US is cooling down after gaining 26 million jobs in the past three years.
The Federal Reserve's preferred inflation gauge increased slightly in July, suggesting that the fight against inflation may be challenging, but the absence of worse news indicates that officials are likely to maintain interest rates.
The August employment report showed an increase in unemployment and a jump in the number of workers unemployed for more than 27 weeks, indicating a normalization of the labor market; however, the report also highlighted the potential for further job gains in September as new labor force entrants search for employment.
The August jobs report shows a healthy labor market with steady growth, although there are signs of cooling due to higher interest rates and downward revisions to previous job numbers, but overall it is seen as a robust report, with women and immigrants playing a significant role in the labor force. There are some concerns, such as Americans spending down their savings and potential consequences of the Federal Reserve's rate hikes.
The US job market is cooling down, with signs of weakening and a slowdown in momentum, which may allow the Federal Reserve to ease inflation pressure through weaker job creation and reduced demand.
The August jobs report indicates that the labor market is cooling despite a larger-than-expected gain in payrolls.
The Fed's "Sahm Rule" recession gauge could be triggered by an increase in unemployment, according to Peter Corey, co-founder and chief market strategist at Pave Finance, who believes that a stronger-than-expected jobs number and an uptick in the average workweek could put upward pressure on wages and possibly lead the Fed to tighten.
The US dollar edged lower as US markets were closed for a holiday, and investors considered US jobs data indicating signs of cooling, leading to speculation that the Federal Reserve may be at the end of its monetary tightening cycle.
Despite weakening economic growth, the unemployment rate remains low, which is puzzling economists and could lead to a "full-employment stagnation" scenario with a potential recession and low unemployment rates, posing challenges for the Federal Reserve and the overall economy.
U.S. economic growth was modest in July and August, with slowing inflation and a cooling labor market, indicating that the Federal Reserve may be close to finishing its interest rate increases.
The jobs market is currently in a relatively benign position, with unemployment rates and wage growth neither extremely high nor low, but leading indicators suggest a potential rise in unemployment and a continued deceleration of wage growth in the coming quarters.
A survey conducted by Bloomberg shows that most economists expect the Federal Reserve to hold interest rates steady until May and project one additional rate increase this year, although they do not believe the Fed will actually implement another increase.
The Federal Reserve is expected to keep interest rates steady and signal that it is done raising rates for this economic cycle, as the bond market indicates that inflation trends are moving in the right direction.
The upcoming U.S. Federal Reserve meeting is generating less attention than usual, indicating that the Fed's job of pursuing maximum employment and price stability is seen as successful, with labor market data and inflation trends supporting this view.
The Federal Reserve will continue raising interest rates until inflation decreases, even if it means more people losing their jobs, according to CNBC's Jim Cramer.
The Federal Reserve left interest rates unchanged while revising its forecasts for economic growth, unemployment, and inflation, indicating a "higher for longer" stance on interest rates and potentially only one more rate hike this year. The Fed aims to achieve a soft landing for the economy and believes it can withstand higher rates, but external complications such as rising oil prices and an auto strike could influence future decisions.
