The Challenger Report published an article indicating that hiring in the US has fallen to the lowest level since they began tracking the data in 2005, even lower than the worst periods of the Great Recession.
“U.S.-based employers announced 75,891 cuts in August, a 193% increase from the 25,885 cuts announced one month prior.”
“Last month, 37,403 job cuts were attributed to “Cost-Cutting,” while 16,439 were due to “Market/Economic Conditions.””
“U.S. employers have announced 79,697 hiring plans, down 41% from the 135,980 plans recorded through August last year. The year-to-date total is the lowest since Challenger began tracking in 2005. The previous lowest total through August occurred in 2008, when 80,387 hiring plans were announced.”
I have previously shared several articles on here indicating why I expected a recession to be incoming, and a common refrain contradicting my prediction was the strength of the job market. I therefore feel it appropriate to share that the latest data suggests the job market appears as expected to be bad and growing worse, at a faster pace than in the worst recession we’ve suffered in recent memory.
While markets can remain irrational for a long time, I do not expect any markets, from stocks to real estate, to endure in high prices for long while the nation slowly descends into high unemployment and a general economic crisis. While this is not good news, I hope it is at least helpful information. Good luck all.
🚨FED IS COMING DOWN THE MOUNTAIN 🚨
After 11 rate hikes in 16 months, the FED held steady for a year.
Inflation peaked at 9% in 2022 and now sits under 3%.
The new worry is JOBS.
Over 1 million jobs have been revised lower over the last 24 months.
New job openings have… pic.twitter.com/Mpi7pqsj1i
— Genevieve Roch-Decter, CFA (@GRDecter) September 18, 2024