US job openings drop to more than 3-1/2 year low in September
10:32 am Tuesday, October 29th, 2024
WASHINGTON (Reuters) – U.S. job openings fell to the lowest level in more than 3-1/2 years in September and data for the prior month was revised down, pointing to a considerable easing in labor market conditions.
Job openings, a measure of labor demand, dropped by 418,000 to 7.443 million by the last day of September, the lowest level since January 2021, the Labor Department’s Bureau of Labor Statistics said in its Job Openings and Labor Turnover Survey, or JOLTS report, on Tuesday.
Data for August was revised down to show 7.861 million unfilled positions instead of the previously reported 8.040 million. Economists polled by Reuters had forecast 8.00 million job openings. Hires increased 123,000 to 5.558 million. Layoffs rose 165,000 to 1.833 million.
Hurricanes and strikes are likely to temporarily obscure the labor market view, with job gains expected to have slowed significantly in October. Nonfarm payrolls probably increased by 115,000 jobs after rising 254,000 in September, a Reuters survey of economists showed.
That would be the smallest count in six months. The unemployment rate is forecast unchanged at 4.1%. Federal Reserve officials are likely to shrug off October’s employment report when they meet next month.
The U.S. central bank is expected to cut interest rates by 25 basis points after kicking off its easing cycle with an unusually large half-percentage point cut in September.
The first reduction in borrowing costs since 2020 lowered the Fed’s policy rate to the 4.75%-5.00% range. It hiked rates by 525 basis points in 2022 and 2023 to curb inflation.
(Reporting by Lucia Mutikani; Editing by Andrea Ricci)
