U.S. November JOLTS report sees Job Openings highest since May, December ISM Services index also firmer
November has seen as sharp bounce in job openings, by 259k to 8.098m, a second straight rise which after October’s 467k more than fully erases the 489k decline of September and takes the level to the highest since May. December ISM services data is also on the firm side of expectations, rising to 54.1 from 52.1.
Elsewhere the details of the JOLTS report are less impressive, with hirings down by 125k, a second straight decline, and a 180k fall in separations fully due to a 218k fall in quits, which does not imply confidence in the labor market. However, these relatively weak details are outweighed by the strength of openings.
December’s ISM services index, while improved from November, is still below levels seen in September and October. The rise in the composite was led by a bounce in business activity to 58.2 from 53.7.
New orders at 54.2 from 53.7 are less impressive and employment at 51.4 from 51.5 did not rise at all.
The final contributor to the composite, delivery times, rose to 52.5 from November’s significantly weaker 56.4.
Prices paid do not contribute to the composite, but the increase to 64.4 from 58.2 is significant, breaking out of a recent tight range to its highest level since February 2023.
