US Job Opening Rate Slows Down

U.S. job openings and hiring fell in June, suggesting that demand for labor was cooling in tandem with a slowing economy, which could provide another reason for the Federal Reserve to cut interest rates again next month.

The report from the Labor Department on Tuesday came against the backdrop of an escalation in the trade war between the United States and China, which caused a sharp sell-off on Wall Street on Monday and sent U.S. Treasury 10-year yields tumbling to the lowest since October 2016.

Concerns about the impact of the U.S.-China trade tensions on the 10-year economic expansion, the longest in U.S. history, prompted the Fed to cut rates last week for the first time since 2008. Financial markets have fully priced in further monetary policy easing at the U.S. central bank’s Sept. 17-18 meeting.

via Reuters

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza