Job Listings Starting To Trend Lower

Job Listings Starting To Trend Lower

By Alyce Andres, Bloomberg Markets Live commentator and reporter

Online data show companies are putting the brakes on job listings for a third month (see “Fed Mission Accomplished: Real-Time Indicators Show The Labor Market Just Cratered“).

It may be a sign that the Fed rate hikes partly aimed at cooling wage inflation amid a red-hot job market are starting to work.

In the economics world, three in a row can make a trend. Active job listings in the US dropped 2.8% in June, according to LinkUp data. That’s on top of 4.2% and 3.1% decreases in May and April, according to the firm. LinkUp is a global job-market data and analytics firm in the online jobs space.

Declines in job listings were seen nationwide, with 94% of states seeing a decline in help wanted ads. Deleted job listings rose 6.9%, according to LinkUp data released Tuesday. Companies typically decrease hiring to maintain revenues and profitability. After that, layoffs become a risk.

The JOLTS report, once a sleepy indicator, is very much in the hot seat now. It rose in importance after Fed Chairman Powell said last fall it is a labor-market gauge that policy makers watch closely. Jobs openings fell in April and May, and another decline in June could mean a trend is also under way in the JOLTS data.

Tyler Durden
Thu, 07/21/2022 – 14:05
Source: Zero Hedge News

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