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Surge in Job Openings in August, Defying Expectations
  + stars: | 2023-10-03 | by ( Tim Smart | Oct. | At A.M. | ) www.usnews.com   time to read: +3 min
Job openings unexpectedly rose in August by 690,000 in a surprise that was led by a jump in demand for workers in business services, the Labor Department reported on Tuesday. Job openings rise to 9.6 mil from 8.8 mil last month. That means analysts will wait for other data on the job market out this week to see whether the job openings report is an anomaly. The job openings data lag the other labor market reports this week by a month. On Friday, the government will release its monthly jobs report for September with analysts looking for a continued moderation in the pace of growth in employment.
Persons: , ” Kathy Jones, Charles Schwab, , Geno Cutolo, Mark Hamrick, ” Hamrick, Brij Khurana, Khurana Organizations: Labor Department, Charles, Charles Schwab Center, Financial Research, Federal, Wellington Management Locations: North America
And yet, even though it seemed impossible, the labor market is somehow getting tighter, said Rucha Vankudre, senior economist at business analytics firm Lightcast. “I think pretty much all the labor economists in the country this morning are shocked,” Vankudre said Friday during a webinar after the jobs report was released. The January jobs report shouldn’t trigger a wholesale change of what Fed members are thinking or what they were planning on doing before this report, Sarah House, senior economist at Wells Fargo, told CNN. Strong labor market in a slowing economy? January’s jobs report came with added complexity, because it included annual updates to populations estimates and revisions to employer survey data.
The welcome GDP report comes amid almost daily recession warnings from bank CEOs, business economists, think tanks and former Treasury secretaries. But as the dread grows, today’s news is a reminder that no one knows for sure whether the US economy will tip into a recession. Moreover, most of those same prognosticators agree that even if we do have a recession, it would be mild. Thirdly, we won’t know if we are, or were, in a recession until it is over:A recession may be coming. But even the staunchest recession hawks think a recession — if it happens — would be mild.
New York CNN Business —“Payday Friday” may soon be replaced by “Payday Wednesday.”This week, JPMorgan Chase, America’s largest bank, became the latest financial institution to offer customers early access to their direct deposits. Also, in the past year, several banks such as Bank of America, Citi and Chase have started scrapping overdraft fees. Services such as early access to direct deposits and waiving of overdraft fees come at a time when historically high inflation is draining consumers’ excess savings, said Mark Hamrick, chief economist for Bankrate. “At a time when prices have been high on a continuing basis, that has robbed consumers of purchasing power,” he said. So if there’s an interruption in income, that means individuals are going to be facing increased financial stress.”
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