The number of job openings on the last business day of October stood at 8.7 million, the US Bureau of Labor Statistics (BLS) reported in the Job Openings and Labor Turnover Survey (JOLTS) on Tuesday. This reading followed 9.35 million (revised from 9.55 million) openings in September and came in below the market expectation of 9.3 million.
"Over the month, the number of hires and total separations changed little at 5.9 million and 5.6 million, respectively," the BLS noted in the press release and added:
"Within separations, quits (3.6 million) and layoffs and discharges (1.6 million) changed little."
Market reaction to JOLTS Job Openings report
The US Dollar came under modest selling pressure after this data. At the time of press, the US Dollar Index was unchanged on the day at 103.64.
US Dollar price today
The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the weakest against the Japanese Yen.
USD | EUR | GBP | CAD | AUD | JPY | NZD | CHF | |
USD | 0.05% | -0.08% | 0.23% | 0.69% | -0.39% | 0.23% | 0.11% | |
EUR | -0.03% | -0.11% | 0.21% | 0.64% | -0.42% | 0.22% | 0.08% | |
GBP | 0.07% | 0.13% | 0.33% | 0.71% | -0.28% | 0.34% | 0.19% | |
CAD | -0.21% | -0.16% | -0.31% | 0.39% | -0.58% | 0.05% | -0.13% | |
AUD | -0.65% | -0.64% | -0.74% | -0.43% | -1.06% | -0.39% | -0.54% | |
JPY | 0.39% | 0.40% | 0.27% | 0.60% | 1.07% | 0.60% | 0.48% | |
NZD | -0.25% | -0.20% | -0.33% | -0.01% | 0.44% | -0.64% | -0.13% | |
CHF | -0.12% | -0.10% | -0.19% | 0.11% | 0.57% | -0.52% | 0.14% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent EUR (base)/JPY (quote).
This section below was published as a preview of the JOLTS Job Openings data at 08:00 GMT.
- The US JOLTS data will be watched closely by investors ahead of the November jobs report.
- Job openings are forecast to edge lower to 9.3 million on the last business day of October.
- US labor market conditions remain out of balance as the Fed refrains from tightening policy further.
The Job Openings and Labor Turnover Survey (JOLTS) will be released on Tuesday by the US Bureau of Labor Statistics (BLS). The publication will provide data about the change in the number of job openings in October, alongside the number of layoffs and quits.
JOLTS data will be scrutinized by market participants and Federal Reserve (Fed) policymakers because it could provide valuable insights regarding the supply-demand dynamics in the labor market, a key factor impacting salaries and inflation.
What to expect in the next JOLTS report?
The number of job openings on the last business day of October is forecast to decline to 9.3 million."Over the month, the number of hires and total separations changed little at 5.9 million and 5.5 million, respectively," the BLS noted in the September report and added: "Within separations, quits (3.7 million) and layoffs and discharges (1.5 million) changed little."
After declining steadily from 10.3 million to 8.9 million in the April-July period, job openings rose to 9.49 million in August and to 9.55 million in September. Meanwhile, Nonfarm Payrolls increased by only 150,000 in October. Since the release of the October jobs report on November 3, the US Dollar (USD) has been struggling to find demand, with the DXY USD Index losing 3% in November.
Markets are fairly certain that the Federal Reserve (Fed) will leave the policy rate unchanged in the last policy meeting of the year. According to the CME Group FedWatch Tool, investors are even pricing in a more than 50% probability that the Fed will lower the interest rate by 25 basis points as early as March.
FXStreet Analyst Eren Sengezer shares his view on the JOLTS Job Openings data and the potential market reaction:
“The previous two JOLTS Job Openings data surprised to the upside and pointed to tight labor market conditions. The disappointing October NFP reading, however, suggests that conditions may have loosened. In case the number of job openings declines below nine million in October, markets are likely to see that as a confirmation of a cooling labor market. Nevertheless, investors could opt to wait to see the November labor market figures before betting on further USD weakness. On the other hand, a reading close to 10 million could help the USD stay resilient against its rivals with the immediate reaction.”
When will the JOLTS report be released and how could it affect EUR/USD?
Job openings numbers will be published at 15:00 GMT. Eren points out key technical levels to watch for EUR/USD ahead of JOLTS data:
“The Relative Strength Index (RSI) indicator on the daily chart declined toward 50 and EUR/USD fell below the lower limit of the ascending regression channel on Monday. These technical developments point to a loss of bullish momentum but sellers could refrain from betting on an extended slide if the pair stabilizes above the 200-day Simple Moving Average (SMA), which is currently located at around 1.0820.
On the upside, 1.0900 (psychological level, lower limit of the ascending channel) aligns as immediate resistance. Once this level is confirmed as support, 1.1000 (psychological level, midpoint of the ascending channel) and 1.1050 (upper limit of the ascending channel) could be set as next bullish targets. If EUR/USD confirms 1.0820 as resistance, technical sellers could show interest. In this scenario, additional losses toward 1.0770 (100-day SMA) and 1.0700 (50-day SMA) could be seen.”
(Former versions of this story said that job openings were expected to decline to 9.35 million in October. This figure has been changed to 9.3 million due to consensus change.)
Employment FAQs
How do employment levels affect currencies?
Labor market conditions are a key element to assess the health of an economy and thus a key driver for currency valuation. High employment, or low unemployment, has positive implications for consumer spending and thus economic growth, boosting the value of the local currency. Moreover, a very tight labor market – a situation in which there is a shortage of workers to fill open positions – can also have implications on inflation levels and thus monetary policy as low labor supply and high demand leads to higher wages.
Why is wage growth important?
The pace at which salaries are growing in an economy is key for policymakers. High wage growth means that households have more money to spend, usually leading to price increases in consumer goods. In contrast to more volatile sources of inflation such as energy prices, wage growth is seen as a key component of underlying and persisting inflation as salary increases are unlikely to be undone. Central banks around the world pay close attention to wage growth data when deciding on monetary policy.
How much do central banks care about employment?
The weight that each central bank assigns to labor market conditions depends on its objectives. Some central banks explicitly have mandates related to the labor market beyond controlling inflation levels. The US Federal Reserve (Fed), for example, has the dual mandate of promoting maximum employment and stable prices. Meanwhile, the European Central Bank’s (ECB) sole mandate is to keep inflation under control. Still, and despite whatever mandates they have, labor market conditions are an important factor for policymakers given its significance as a gauge of the health of the economy and their direct relationship to inflation.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD resumes slide below 1.0500
EUR/USD gained modest upward traction ahead of Wall Street's opening but resumed its slide afterwards. The pair is under pressure in the American session and poised to close the week with losses near its weekly low at 1.0452.
GBP/USD nears 1.2600 as the US Dollar regains its poise
Disappointing macroeconomic data releases from the UK put pressure on the British Pound, yet financial markets are all about the US Dollar ahead of the weekly close. Demand for the Greenback increased in the American session, pushing GBP/USD towards 1.2600.
Gold pierces $2,660, upside remains capped
Gold (XAU/USD) puts pressure on daily lows and trades below $2,660 on Friday’s early American session. The US Dollar (USD) reclaims its leadership ahead of the weekly close, helped by rising US Treasury yields.
Broadcom is the newest trillion-dollar company Premium
Broadcom (AVGO) stock surged more than 21% on Friday morning after management estimated on Thursday’s earnings call that the market for customized AI accelerators might reach $90 billion in fiscal year 2027.
Can markets keep conquering record highs?
Equity markets are charging to new record highs, with the S&P 500 up 28% year-to-date and the NASDAQ Composite crossing the key 20,000 mark, up 34% this year. The rally is underpinned by a potent mix of drivers.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.