While the Nasdaq Composite Index rose earlier in the day, it retreated to end the first day of the new month flat. The S&P 500 carved out a slender gain of 0.2%, while the Dow Jones Industrial Average managed to rise over 0.3%. Still, each major index suffered losses for the month of August.

The latest jobs data appears to come as little surprise to the Federal Reserve, according to the words of Fed Chair Jerome Powell. “We expect this labor market rebalancing to continue,” Powell explained at the Jackson Hole Economic Symposium last week. “Evidence that the tightness in the labor market is no longer easing could also call for a monetary policy response.”

The post Stocks Close Mixed Following Unexpected Jobs Data appeared first on theprimarymarket.com.

Jefferies US economist Thomas Simons explained, “Given the tightness in the labor market, more supply is welcome, and sometimes it takes a little while for new entrants to find a fit.” Contrary to the upward trajectory in unemployment, the civilian labor force grew in numbers, adding 736,000 participants from the previous month. The labor force participation rate for August was 62.8%; its highest level since February 2020, when it reached 63.3%.

This latest jobs report has indicated a more balanced labor market, which is a good sign for the Federal Reserve as its September meeting approaches. This cooldown could be a factor in the argument to convince the central bank to hold off on further interest rate hikes.

The post Unemployment Hits 18-Month High in Latest Jobs Report appeared first on theprimarymarket.com.

Although the actual figures outperformed Reuters’ estimate of 250,000 claims for the week, it is important to note that the U.S. Independence Day fell on Tuesday, thereby distorting the data.

While the Federal Reserve stated on Wednesday that the U.S. labor force remains healthy, the market has slowed down as the impact of the Fed’s 500 basis points in interest rate hikes has begun to take hold. The labor market is facing worker shortages in health care, hospitality, and transportation as well as several high-skilled positions.

Job growth in June slowed to its lowest rate in two and a half years. While jobless claims also remain low, this could be a result of some laid-off workers being unemployed for short periods of time.

The post U.S. Weekly Jobless Claims Fall Unexpectedly appeared first on theprimarymarket.com.

Unemployment rose to 3.7%, compared to expectations of a rise to 3.5%. Average hourly earnings on a monthly basis rose by 0.3%, on par with expectations, while annual hourly earnings rise on a year-on-year basis rose by 4.3%, just short of an expected 4.4% rise.

In addition to May’s employment gains, figures from the previous two months were also revised. Employment gains over the past two months were revised to 294,000—a 41,000 rise from the initial figures – while March gains alone were raised to 217,000 from 165,000.

The post U.S. Jobs Report Exceeds Expectations appeared first on theprimarymarket.com.

Data from the Department of Labor on Thursday showed that applications for unemployment benefits in the U.S. fell by 16,000 to 230,000 for the week ending April 22. Over 1.86 million people were claiming unemployment benefits that week, down 3,000 from the previous week.

While jobless claims are higher than the 200,000 submitted at the start of the year, the U.S. labor market remains strong by historic standards. 236,000 jobs were added in March, lower than the 472,000 in January and the 326,000 in February but still historically strong.

Federal Reserve officials worry that the strong labor market could put pressure on wages and in turn prices, thereby undermining the fight to control inflation. While inflation was 5% year-over-year in March, it remains higher than the Fed’s 2% annual inflation target.

The post Labor Market Remains Strong as Jobless Claims Fall appeared first on theprimarymarket.com.

Weekly jobless claims for the week ended March 18 declined by 1,000 to 191,000, beating an estimate of 197,000 given by economists polled by Reuters. This represents a strong labor market, with unemployment remaining low even by historical standards despite the ongoing banking crisis as well as mass layoffs by big tech companies.

Although Indiana and Massachusetts saw an increase in unemployment claim filings, declines in California, Illinois, and New York offset this rise.

Despite the labor market exhibiting sustained strength, the Federal Reserve is set to maintain its tight fiscal policy as sustained inflation continues to pose an issue in the face of the banking crisis.

“The events of the last two weeks are likely to result in some tightening of credit conditions for households and businesses, and thereby weigh on demand on the labor market and inflation,” Fed Chair Jerome Powell told reporters after the latest Federal Reserve policy meeting on March 22.

The post Weekly Jobless Claims Decline As Job Market Remains Tight appeared first on theprimarymarket.com.

“Right now, the overwhelming bulk of cuts are occurring in Technology. Retail and Financial are also cutting right now, as consumer spending matches economic conditions,” Andrew Challenger, the senior vice president of the firm, observed.

Among those tech firms with the largest layoffs were Google-parent Alphabet Inc, Microsoft Corp, and PayPal Holdings; all of which cut thousands of jobs over the two-month period. Layoffs were pursued largely as a tactic for cutting costs.

Job layoffs are expected to be largely affected by the Federal Reserve’s next moves. On Wednesday, Fed Chair Jerome Powell reemphasized his expectation for higher and potentially faster interest rate hikes ahead, thereby increasing the likelihood of more layoffs.

In addition to layoffs, the report found that U.S. firms are set to hire 28,830 workers in February. This is a sharp 87% decline from the 215,127 workers during the same period a year earlier.

The post Job Cuts Reach Highest Level Since 2009 appeared first on theprimarymarket.com.

102,943 workers lost their jobs in January, more than twice the number of job losses reported in December. Microsoft Corp, Amazon.com Inc, and Goldman Sachs Inc were among those companies that engaged in thousands of layoffs, particularly in response to downward demand trends amid high inflation and rising interest rates.

We’re now on the other side of the hiring frenzy of the pandemic years,” Andrew Challenger, Senior Vice President of Challenger, Gray & Christmas Inc. commented. “Companies are preparing for an economic slowdown, cutting [the] workforce and slowing hiring.”

Retailers made the largest layoffs in January after tech companies, cutting 13,000 jobs, while financial firms followed closely behind by cutting 10,603 jobs.

With the Federal Reserve expected to continue its interest rate hikes in the near future albeit at a lower rate, U.S. economists remain convinced that more layoffs could be in store.

The post U.S. Layoffs Surge in January Following Tech Companies’ Jobs Cuts appeared first on theprimarymarket.com.

In addition to these numbers, there have also been reports that factory activity in the country has slowed down—further indicating that the American economy as a whole is taking a bit of a downturn.

Fears of another recession have been on the rise for a while, and the signs have continued to point towards it. While optimists continue to hold out for a beacon of hope amidst the turmoil, rising unemployment requests continue to test their patience. After all, even the most positive of analysts can’t deny cold, hard facts.

Initial waves of panic were helped by the Federal Reserve lifting interest rates at an alarming pace, in order to combat the lopsided inflation that’s at its highest since the 80s.

To really hammer home these fears, Reuters released a poll that showed 40% of economists projecting that there will be a likely recession over the next year. This is a huge rise from 25% of economists who projected it last month.

The post U.S. Jobless Requests at an 8-Month High appeared first on theprimarymarket.com.

While the Nasdaq Composite Index rose earlier in the day, it retreated to end the first day of the new month flat. The S&P 500 carved out a slender gain of 0.2%, while the Dow Jones Industrial Average managed to rise over 0.3%. Still, each major index suffered losses for the month of August.

The latest jobs data appears to come as little surprise to the Federal Reserve, according to the words of Fed Chair Jerome Powell. “We expect this labor market rebalancing to continue,” Powell explained at the Jackson Hole Economic Symposium last week. “Evidence that the tightness in the labor market is no longer easing could also call for a monetary policy response.”

The post Stocks Close Mixed Following Unexpected Jobs Data appeared first on theprimarymarket.com.

Jefferies US economist Thomas Simons explained, “Given the tightness in the labor market, more supply is welcome, and sometimes it takes a little while for new entrants to find a fit.” Contrary to the upward trajectory in unemployment, the civilian labor force grew in numbers, adding 736,000 participants from the previous month. The labor force participation rate for August was 62.8%; its highest level since February 2020, when it reached 63.3%.

This latest jobs report has indicated a more balanced labor market, which is a good sign for the Federal Reserve as its September meeting approaches. This cooldown could be a factor in the argument to convince the central bank to hold off on further interest rate hikes.

The post Unemployment Hits 18-Month High in Latest Jobs Report appeared first on theprimarymarket.com.

Although the actual figures outperformed Reuters’ estimate of 250,000 claims for the week, it is important to note that the U.S. Independence Day fell on Tuesday, thereby distorting the data.

While the Federal Reserve stated on Wednesday that the U.S. labor force remains healthy, the market has slowed down as the impact of the Fed’s 500 basis points in interest rate hikes has begun to take hold. The labor market is facing worker shortages in health care, hospitality, and transportation as well as several high-skilled positions.

Job growth in June slowed to its lowest rate in two and a half years. While jobless claims also remain low, this could be a result of some laid-off workers being unemployed for short periods of time.

The post U.S. Weekly Jobless Claims Fall Unexpectedly appeared first on theprimarymarket.com.

Unemployment rose to 3.7%, compared to expectations of a rise to 3.5%. Average hourly earnings on a monthly basis rose by 0.3%, on par with expectations, while annual hourly earnings rise on a year-on-year basis rose by 4.3%, just short of an expected 4.4% rise.

In addition to May’s employment gains, figures from the previous two months were also revised. Employment gains over the past two months were revised to 294,000—a 41,000 rise from the initial figures – while March gains alone were raised to 217,000 from 165,000.

The post U.S. Jobs Report Exceeds Expectations appeared first on theprimarymarket.com.

Data from the Department of Labor on Thursday showed that applications for unemployment benefits in the U.S. fell by 16,000 to 230,000 for the week ending April 22. Over 1.86 million people were claiming unemployment benefits that week, down 3,000 from the previous week.

While jobless claims are higher than the 200,000 submitted at the start of the year, the U.S. labor market remains strong by historic standards. 236,000 jobs were added in March, lower than the 472,000 in January and the 326,000 in February but still historically strong.

Federal Reserve officials worry that the strong labor market could put pressure on wages and in turn prices, thereby undermining the fight to control inflation. While inflation was 5% year-over-year in March, it remains higher than the Fed’s 2% annual inflation target.

The post Labor Market Remains Strong as Jobless Claims Fall appeared first on theprimarymarket.com.

Weekly jobless claims for the week ended March 18 declined by 1,000 to 191,000, beating an estimate of 197,000 given by economists polled by Reuters. This represents a strong labor market, with unemployment remaining low even by historical standards despite the ongoing banking crisis as well as mass layoffs by big tech companies.

Although Indiana and Massachusetts saw an increase in unemployment claim filings, declines in California, Illinois, and New York offset this rise.

Despite the labor market exhibiting sustained strength, the Federal Reserve is set to maintain its tight fiscal policy as sustained inflation continues to pose an issue in the face of the banking crisis.

“The events of the last two weeks are likely to result in some tightening of credit conditions for households and businesses, and thereby weigh on demand on the labor market and inflation,” Fed Chair Jerome Powell told reporters after the latest Federal Reserve policy meeting on March 22.

The post Weekly Jobless Claims Decline As Job Market Remains Tight appeared first on theprimarymarket.com.

“Right now, the overwhelming bulk of cuts are occurring in Technology. Retail and Financial are also cutting right now, as consumer spending matches economic conditions,” Andrew Challenger, the senior vice president of the firm, observed.

Among those tech firms with the largest layoffs were Google-parent Alphabet Inc, Microsoft Corp, and PayPal Holdings; all of which cut thousands of jobs over the two-month period. Layoffs were pursued largely as a tactic for cutting costs.

Job layoffs are expected to be largely affected by the Federal Reserve’s next moves. On Wednesday, Fed Chair Jerome Powell reemphasized his expectation for higher and potentially faster interest rate hikes ahead, thereby increasing the likelihood of more layoffs.

In addition to layoffs, the report found that U.S. firms are set to hire 28,830 workers in February. This is a sharp 87% decline from the 215,127 workers during the same period a year earlier.

The post Job Cuts Reach Highest Level Since 2009 appeared first on theprimarymarket.com.

102,943 workers lost their jobs in January, more than twice the number of job losses reported in December. Microsoft Corp, Amazon.com Inc, and Goldman Sachs Inc were among those companies that engaged in thousands of layoffs, particularly in response to downward demand trends amid high inflation and rising interest rates.

We’re now on the other side of the hiring frenzy of the pandemic years,” Andrew Challenger, Senior Vice President of Challenger, Gray & Christmas Inc. commented. “Companies are preparing for an economic slowdown, cutting [the] workforce and slowing hiring.”

Retailers made the largest layoffs in January after tech companies, cutting 13,000 jobs, while financial firms followed closely behind by cutting 10,603 jobs.

With the Federal Reserve expected to continue its interest rate hikes in the near future albeit at a lower rate, U.S. economists remain convinced that more layoffs could be in store.

The post U.S. Layoffs Surge in January Following Tech Companies’ Jobs Cuts appeared first on theprimarymarket.com.

In addition to these numbers, there have also been reports that factory activity in the country has slowed down—further indicating that the American economy as a whole is taking a bit of a downturn.

Fears of another recession have been on the rise for a while, and the signs have continued to point towards it. While optimists continue to hold out for a beacon of hope amidst the turmoil, rising unemployment requests continue to test their patience. After all, even the most positive of analysts can’t deny cold, hard facts.

Initial waves of panic were helped by the Federal Reserve lifting interest rates at an alarming pace, in order to combat the lopsided inflation that’s at its highest since the 80s.

To really hammer home these fears, Reuters released a poll that showed 40% of economists projecting that there will be a likely recession over the next year. This is a huge rise from 25% of economists who projected it last month.

The post U.S. Jobless Requests at an 8-Month High appeared first on theprimarymarket.com.