Job Openings Plentiful, Continue To Shrink

Job openings remain plentiful but nevertheless continue to shrink. Openings came in at 7.051 million in August, down 1.7 percent from July for the third monthly decline in a row. Year-on-year, openings are down 4.0 percent which is the lowest reading since February 2010.

Hires are also falling, down 3.3 percent in the month to 5.779 million with this year-on-year rate at minus 0.8 percent. Quits also came down in August, to 3.526 million for a 3.9 percent monthly decline with the quits rate, which is a reading Federal Reserve officials watch as an indication of worker confidence and worker mobility, down 1 tenth to 2.3 percent.

This report is not pointing to increasing capacity stress in the labor market and will offer doves at the Federal Reserve arguments that interest rates can continue to come down without risking an unwanted spike in wage pressures.