Pickup in US employment is still too weak to change the whole picture

02.07.24

Today’s increase in the number of job openings in US is in line with the current down-trend (it is just a correction), which started two years ago with the advent of monetary tightening cycle.
The gradual slowdown in job openings is a natural effect of high interest rates, which makes it harder for businesses to expand their output by increasing investments.
The labor market in general, however, still remains rather tight with record levels of unemployment and high rates of earnings.
More insights on US labor market will be provided this Friday when a bunch of data is to be published.