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Below is a complimentary research note from our Financials analyst Josh Steiner. Check out Josh's product Financials Sector Pro, for the latest financial updates. Click HERE to learn more. |
HEDGEYE FINANCIALS WEEKLY LABOR MARKET READING
After bottoming at the end of the first quarter, initial unemployment claims have gradually trended higher, signaling the beginnings of an inflection from peak employment as broadly slowing real economic growth is additionally catalyzed by inflation-induced demand destruction and monetary tightening of biblical proportions.
Recall, labor is the last of the Mohicans when it comes to cycles.
With conventional measures of employment strength remaining strong, the Fed continues to enjoy strong cover as it proceeds with historic monetary tightening and a "higher for longer" interest rate regime, setting up for a deeper and longer Quad 4.
