Source: Economics Group of Wells Fargo Bank, N.A.Summary
- The January jobs report will likely leave the tepid picture of the labor market little changed. We estimate monthly payroll growth picked up to 80K in January. A slower moderation in job postings and a rebound in small business hiring plans indicate some firming in labor demand since the summer (Figure 1). That said, January’s pickup is likely to overstate the recent improvement due to fewer layoffs in seasonally-sensitive industries after retailers and delivery firms hired fewer holiday workers last year.