Job openings rebound in August, but turnover settling down

Wells Fargo Research Team Wells Fargo

Summary

Job openings have fallen over 20% since their peak last spring, but the jump in vacancies in August to 9.6 million suggest demand for labor is easing less rapidly than indicated by recent months' data. While openings remain far higher than the previous cycle peak, worker turnover suggests the jobs market is indeed settling down. The hiring rate and quit rate have returned to pre-pandemic levels, with improved retention helping to keep a lid on wage growth ahead. Yet layoffs also remain exceptionally low—consistent with the recent run of initial jobless claims—while the rate of quits and openings signal that, though the jobs market may be directionally weaker, it remains strong in an absolute sense.

Download The Full Special Commentary

Author

Wells Fargo Research Team

Wells Fargo

EUR/USD turns negative near 1.1850

EUR/USD has given up its earlier intraday gains on Thursday and is now struggling to hold above the 1.1850 area. The US Dollar is finding renewed support from a pick-up in risk aversion, while fresh market chatter suggesting Russia could be considering a return to the US Dollar system is also lending the Greenback an extra boost.

GBP/USD change course, nears 1.3600

GBP/USD gives away its daily gains and recedes toward the low-1.3600s on Thursday. Indeed, Cable now struggles to regain some upside traction on the back of the sudden bout of buying interest in the Greenback. In the meantime, investors continue to assess a string of underwhelming UK data releases released earlier in the day.