The labor marketthat appeared to be entering a more stable phase is now showing hard-to-ignore cracks, with job openings collapsing and early signs of a pickup in layoffs.
Why it matters: It raises the risk that policymakers misjudge whether the labor market is stabilizing or sliding deeper into a slump at a pivotal moment.
Driving the news: The shutdown-delayed Job Openings and Labor Turnover Survey (JOLTS) tells the story: After months of being “little changed,” job openings plunged in December, suggesting a drop-off in demand for new workers.