Demand for labor showed little change in September as job openings stayed at 10.4 million and the rate of people quitting their jobs reached an all-time high at 3.0%, according to new data on Friday from the Bureau of Labor Statistics. The imbalance of the labor market, where demand for labor ... READ MORE >
Chart of the day: Jobless claims approach pre-pandemic level
Claims for jobless benefits continued to signal a steady bounce back of the labor market as new filings declined to a pandemic low of 267,000 for the week ending Nov. 6. That was 4,000 fewer claims compared to the previous week and was the sixth consecutive weekly drop, according to data on Wednesday ... READ MORE >
Chart of the day: Producer prices rise as cost pressures mount
The producer price index inched up 0.6% in October with about a third of the increase coming from higher gasoline prices. This followed a 0.5% increase in September and a 0.7% increase in August, according to a report by the Bureau of Labor Statistics on Tuesday. Still, October’s increase remained ... READ MORE >
Initial jobless claims drop to pandemic low as labor market rebounds
New filings for jobless claims declined for the fifth consecutive month as labor shortages kept layoffs low. At the current pace, new jobless claims could reach their pre-pandemic level by the end of the year. Initial jobless claims declined to 269,000 for the week ending Oct. 30, following an ... READ MORE >
Chart of the day: Service sector grew at record pace
The Services Purchasing Managers’ Index hit a record high in October at 66.7%, 4.8 percentage points higher than in September, confirming the recent shift in consumption from goods to services that will last until the end of the year. A reading above 49.2% indicates expansion. The surging overall ... READ MORE >
ADP private payrolls: Large companies continue to attract workers
The ADP estimate for nonfarm private employment in October continued to show an increase in net job gains, led by a sharp rise from small service-providing companies as the delta variant’s surge crested. Still, large companies with more than 1,000 employees continued to account for the biggest ... READ MORE >
Enhanced child tax credit was a game-changer for families, and the economy
Even as the economy slowed in the third quarter as the delta variant took hold, that slowdown would have been far worse if not for the enhanced child tax credit that was introduced on July 15. By our estimate, the enhanced child tax credit, which provided direct payments to about 35 ... READ MORE >
Chart of the day: U.S. manufacturing remained strong in October
The U.S. manufacturing sector continued to expand in October as growth remained positive despite supply chain constraints. The Purchasing Managers' Index inched down to 60.8 from 61.1 in September, but still posted the 17th straight month of expansion since April 2020, according to a report from ... READ MORE >
Chart of the day: Wages grew fastest in 20 years
The tight labor market sent worker compensation growth in the third quarter to its highest level in 20 years, posting a 1.3% gain, according to Employment Cost Index data released by the Bureau of Labor Statistics on Friday. The Employment Cost Index is the Federal Reserve's top wage gauge, and is ... READ MORE >
Personal spending grew in September despite mitigating factors
Personal spending grew in September for the second straight month as the extra income from the enhanced Child Tax Credit program continued to offset the impact from the delta variant on consumption demand. The headline spending number rose 0.6% on the month, following an upwardly revised 1.0% in ... READ MORE >