News You Need To Know on Jan. 4, 2023

If you are looking for work, or thinking about changing your job, then there is some good news. According to the latest job opening and Labor Turnover Survey (JOLTS) from the Labor Department, employers are still looking for workers. While the inauguration of their record high of 11.9 million job vacancies in March has fallen significantly, 10.5 million jobs have still been available by the end of November.

The latest jaults data comes only a few days before the December Jobs report, which will indicate how strong the US economy is. Despite the efforts of the Federal Reserve to slow down the economy in an attempt to fight inflation, the labor market has been strong at 3.7%with unemployment levels.

Economic data that highlights the power of the economy will promote the status of the fed to increase interest rates. But an increase in each rate potentially brings the economy closer to the recession, a landscape that we all avoid. Central Bank policy makers have made it clear that they will not be able to stop hiking rates until inflation begins to cool even more, which sent stock on a rollercaster ride during 2022.

This afternoon, investors will also hole in the latest minutes from the previous Fed meeting, which find clues about the future path of rate hike. Announcing the December rate hike, Fed Chair Zerome Powell said that the bank estimates the “moving growth” in the future, so it is no less likely that today the minutes will show departure from that plan.

But two questions still remain: how much rate will we grow with this year? And how aggressive they would be? Higher rate hike (more aggressive rate hike) can bring economic pain to all as we all as we all as a potential recession on loans, high levels of unemployment and a potential recession.

The stock is growing today as investors stop their breath before the Friday job reports.