RE:August record number of job cuts Right wrong or otherwise, the markets will trade off the governments numbers. One would only assume the above referenced private source is Challenger, Gray & Christmas. Whom also reported, (to add some prospective) that the large Aug. cuts were only 1 percent higher than Aug. of '23 and also said,
"On the hiring front, companies said they were adding just 6,101 new workers, up by nearly 2,500 since July, but down more than 21% from August 2023." While not great still represents about 40 percent m/m increase.
"To be sure, the Challenger layoffs data is somewhat out of sync with government reports, which show that initial claims for unemployment benefits have been slightly elevated in recent weeks but not reflective of a major escalation. For the week ended Aug. 31, jobless claims totaled 227,000, a slight decrease from the previous period."
Long story short, U.S. labor is weakening and the economy is slowing. If I'm not mistaken, that was the objective and a biproduct of the higher rates. Should this come as a surprise to anyone? Funny how we all knew the plan going in but once it materialized, its like "hold the boat". Part of the cycle, same as it ever was. Certain sectors will get hit, over bought areas will revert as rate cuts start to do their thing. Make sure you're not in the wrong place at the wrong time.
Out of control government spending is of greater concern but until the vigilantes show up there is zero political will to change.