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Economic Trends: The Implications of JOLTS Survey Job Openings Increase · Markets with Megan: A Quick Financial Markets Update

• 0:04
  Megan Horneman: Hello, this is Megan Horneman, the Chief Investment Officer for Verdence Capital Advisors, coming to you today with our regular segment of Markets With Megan, we're going to talk about the JOLTS Report that came out this morning.
• 0:14
  Megan Horneman: This is a report on the amount of job openings in the US economy.
• 0:18
  Megan Horneman: This has been trending lower for the past couple of months and it's been good news for the Federal Reserve, because what they've been trying to do is bring that massive number of job openings out there, bring that down without sacrificing a significant amount of unemployment, so they're trying to bring that back into equilibrium.
• 0:38
  Megan Horneman: We have seen some improvement there, as I said, but unfortunately in the past month we saw the biggest jump that we've seen in actually, the past two years.
• 0:46
  Megan Horneman: It was primarily led by job openings or job postings in the White Collar Area Business, finance, education but one of the things that we did see in the report is the amount of people that are voluntarily leaving their job.
• 1:01
  Megan Horneman: That actually stayed very low, so that was the positive for the Fed side of the equation.
• 1:07
  Megan Horneman: On the employment, if those people are not voluntarily leaving their job we saw a substantial amount of people do that in the aftermath of the pandemic If they continue to hold the jobs they have.
• 1:17
  Megan Horneman: That means that they're not super optimistic about future job prospects.
• 1:21
  Megan Horneman: So what does all this mean?
• 1:23
  Megan Horneman: First of all, for the economy it's pretty good.
• 1:25
  Megan Horneman: The labor market still looks to be pretty solid.
• 1:29
  Megan Horneman: But for the Fed, it's putting more and more pressure on them because the employment market is so tight that it continues to spark inflation, and we've repeatedly talked about the inflation concerns that we see and how easy it is to reignite inflation.
• 1:43
  Megan Horneman: So the Fed's going to be paying especially close attention to this report.
• 1:47
  Megan Horneman: Obviously, today the equity market took paid close attention to this report.
• 1:51
  Megan Horneman: We're going to look at this report as one employment report that we get.
• 1:54
  Megan Horneman: Of many, the biggest one will be the end of this week with the monthly jobs report.
• 1:59
  Megan Horneman: This report has some nuances in it that we're not going to take one month as a trend.
• 2:06
  Megan Horneman: We'll take a look at the bigger report that we get on Friday and see if any of this does translate into that jobs report.
• 2:12
  Megan Horneman: And that's all we have today.
• 2:13
  Megan Horneman: If you have any questions or comments, please feel free to reach out to podcast at verdence.
• 2:18
  Megan Horneman: com.
• 2:18
  Megan Horneman: Thank you.