US (Job Openings and Labor Turnover Survey) JOLTs Job Openings for August surprised to the upside, stressing tight labour conditions and unlikely what the Fed wanted to see. Job openings increased by nearly 700,000 to 9.6 million (5.8%). This is a sizeable uptick from the previous print of 8.3 million and was comfortably north of economists’ estimates at 8.8 million, bolstering that higher-for-longer narrative on rates.
Hiring was unchanged at around 5.9 million (3.7%); total separations, which, according to the Bureau of Labour Statistics (BLS), include quits, layoffs, discharges and other separations, was also little changed at 5.7 million (3.6%). The quit rate came in at 3.6 million and was almost the same as the previous month at 2.3%. The BLS noted that the number of quits increased in accommodation and food services, finance and insurance, as well as state and local government.
Markets were not totally reactive on the back of this release. However, it did initially guide major US equity indices lower and lift the US Dollar Index to fresh YTD pinnacles, pulling price action to within striking distance of resistance on the daily timeframe at 107.61. The release also sent the USD/JPY beyond the ¥150.00 handle for the first time since October 2022 and weighed on the EUR/USD further under monthly support at $1.0516.
As seen from the monthly and daily charts below, the US Dollar Index demonstrates room to continue exploring higher levels.
This material on this website is intended for illustrative purposes and general information only. It does not constitute financial advice nor does it take into account your investment objectives, financial situation or particular needs. Commission, interest, platform fees, dividends, variation margin and other fees and charges may apply to financial products or services available from FP Markets. The information in this website has been prepared without taking into account your personal objectives, financial situation or needs. You should consider the information in light of your objectives, financial situation and needs before making any decision about whether to acquire or dispose of any financial product. Contracts for Difference (CFDs) are derivatives and can be risky; losses can exceed your initial payment and you must be able to meet all margin calls as soon as they are made. When trading CFDs you do not own or have any rights to the CFDs underlying assets.
FP Markets recommends that you seek independent advice from an appropriately qualified person before deciding to invest in or dispose of a derivative. A Product Disclosure Statement for each of the financial products is available from FP Markets can be obtained either from this website or on request from our offices and should be considered before entering into transactions with us. First Prudential Markets Pty Ltd (ABN 16 112 600 281, AFS Licence No. 286354).