The US labor market is doing that thing again where it refuses to cooperate with the rate-cut narrative. Job openings held steady at 7.6 million in May, according to Bureau of Labor Statistics data, while consumer confidence edged higher in June as falling gas prices gave households something to feel better about.
The Conference Board’s Consumer Confidence Index climbed to 91.2 in June, up from 90.6 in May. The University of Michigan’s Consumer Sentiment Index told a similar story, rebounding to 49.5 after hitting 44.8 in May.
What the numbers actually mean
The unemployment rate sits around 4.6%. The labor market is neither booming nor busting, grinding along at a level that makes the Federal Reserve’s job genuinely difficult.
The May payrolls report complicated things further. The US economy added 172,000 jobs in May against an expectation of 85,000. When job creation runs that far above expectations, the Fed has less justification to cut rates.
