Following last week’s softer-than-expected increase in US private-sector payrolls in December, the Federal Reserve yesterday reported that its Labor Market Conditions Index (LMCI) dipped into negative terrain for the first time in seven months. Although the slightly negative reading remains well above levels associated with economic recession, the latest decline corroborates the deceleration in employment growth that’s been conspicuous in the year-over-year pace for payrolls in recent history.
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