WASHINGTON (Reuters) – U.S. job openings unexpectedly elevated in August after two straight month-to-month decreases, however hiring was tender and in line with a slowing labor market.
Job openings, a measure of labor demand, rebounded by 329,000 to eight.040 million by the final day of August, the Labor Division’s Bureau of Labor Statistics mentioned in its Job Openings and Labor Turnover Survey, or JOLTS report, on Tuesday.
Information for July was revised larger to point out 7.711 million unfilled positions as an alternative of the beforehand reported 7.673 million. Economists polled by Reuters had forecast 7.660 million job openings. Hires slipped 99,000 to five.317 million. Layoffs declined by 105,000 to 1.608 million.
The Federal Reserve final month reduce its benchmark rate of interest by an unusually massive 50 foundation factors to the 4.75%-5.00% vary, the primary discount in borrowing prices since 2020, in a nod to rising issues over the labor market’s well being.
Fed Chair Jerome Powell mentioned at a Nationwide Affiliation for Enterprise Economics convention on Monday that “labor market situations have clearly cooled over the previous 12 months,” however added “this isn’t a (Federal Open Market) committee that appears like it’s in a rush to chop charges shortly.”
The Fed is anticipated to chop rates of interest once more in November and December. The main target now shifts to the employment report for September which is because of be launched on Friday.
Nonfarm payrolls probably elevated by 140,000 jobs final month after rising by 142,000 in August. That may be properly under the typical month-to-month achieve of 202,000 jobs over the previous 12 months.
The unemployment fee is forecast to be unchanged at 4.2%. It has risen from 3.4% in April 2023 as a surge in immigration boosted labor provide.
