The Job Openings and Labor Turnover Survey (JOLTS) statistics released on Tuesday indicate the job openings level reached a new series high in US of 6.939 million. The quits rate also hit a record of 3.6 million, the highest one since April 2001. The finance and insurance sectors, as well as nondurable goods manufacturing, registered the biggest numbers of job openings; while in retail, educational services and federal government, the job openings decreased.
The Job Openings and Labor Turnover Survey (JOLTS) released by the Labor Department for July pointed a new record of 6.9 million job openings. The biggest job gains were registered in finance and insurance (46,000) and nondurable goods manufacturing (32,000). The job openings rate also increased in the accommodation and food services sector from 5.7 to 6.1 percent; and in the leisure and hospitality sector from 5.4 to 5.8 percent. In contrast, job openings decreased in retail (-85,000), educational services (-34,000), as well as in the federal government sector (-19,000).
On the other hand, the quits rate, which basically measures the confidence of workers who left their jobs voluntarily; also stroke a new record in July 2018, reaching 2.4 percent with 3.6 million quits. According to the available statistics of the Labor Department, this is the highest rate recorded since April 2001. Along with this record, the steady unemployment rate of 3.9 percent make experts wonder when will the wage gains improve. “Workers are leveraging the tighter labor market to find new opportunities and employers are poaching workers from other firms. The next question is how more quitting will translate into higher wage growth?” asked economist Nick Bunker.
When it comes to the hires from July, a total number of 5.68 million was registered. The highest rates were registered in the following industries: accommodation and food services (6.6) leisure and hospitality (6.5), and the arts, entertainment and recreation industry (6.2).
With the job openings record, the Gross Domestic Product (GDP) increasing 4.2 percent in the second quarter and the unemployment rate remaining steady at a 3.9 rate; the economic data released in the past few months indicates that the US economy is strong, which means that the USD is strong. The fact that the US currency has a bullish standing at the moment and a positive future – is a thing that all forex traders should acknowledge and place their trades accordingly.