The Bureau of Labor Statistics’ Jobs Report this morning showed that there were only 22,000 new jobs created last month (in the entire country). That’s roughly only 40% of the amount that was expected, and only 14% what’s needed to keep up with our growing population. Revisions also continue to pour in from the previous readings, reducing those numbers down to even lower than before. Likewise, hourly earnings decelerated to a 3.7% YOY increase–so wages are still increasing but not as fast as they have been recently. For the first time in seven years there are more people out looking for work than there are job openings. Fewer available opportunities for those looking for work ratchets the Unemployment Rate up one tick to 4.3%.
The stock market continues to experience all-time highs every other day and is so caught up in its self-induced euphoria that it remains relatively unfazed by the data so far this morning. My 401(K) is enjoying the ride and it may be time to reallocate funds before the reality of a slowing economy kicks in. Interest rates on the other hand are taking the weakening labor market seriously, and have dropped to the (so far) lows of 2025.
