Source: Economics Group of Wells Fargo Bank, N.A.
Summary
The “curious” balance in the labor market Chair Powell highlighted in Jackson Hole looks more delicate following the July JOLTS report. The job opening rate fell back to its cycle low of 4.3% in July. There is now less than one job opening per unemployed worker—the first time this ratio has dropped below 1.0 since 2021. Workers and employers alike remain in a freeze, evident in the hiring and layoff rates holding steady at low levels.