US: JOLTS job openings in focus today - Nomura

Analysts at Nomura suggest that the JOLTS job opening data will be the only key economic release for today’s US session.

Key Quotes

“In May, job openings declined slightly to 5666k from 5967k, but remain elevated. The decline was relatively broad-based across subsectors although retail trade (+72k) showed a surprising increase. Hires rose sharply by 429k. This strong increase reflects healthy growth in professional & business services and education & health services. Total separations increased to their highest post-recession level of 5259k, driven by a 177k increase in quits. Involuntary separations (layoffs and discharges) remain subdued.”

“The quits rate, an important indicator of workers’ willingness to move between employers, ticked back up to the post-recession high of 2.2%. Labor market turnover, measured by taking the sum of hires and separations and dividing by two times aggregate employment, remains subdued by historical standards. Although JOLTS data are delayed by two months, we have been paying increased attention to this metric due to its relationship with wage growth. Overall, we expect turnover to remain subdued over the medium term.”