The Stagflationary Squeeze on Employment
The September jobs report should put an end to the fantasy that the American economy can absorb rising prices indefinitely without eventually hitting employment. The economy added only 29,000 jobs when economists expected roughly 84,000, while unemployment increased to 4.2%. Worse still, July was re
Source: Armstrong Economics
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DW NOTE
The September jobs miss — 29,000 versus 84,000 expected, unemployment rising to 4.2% — arrives with the Strait of Hormuz closed for eight days and WTI down 19% from peak despite a 6% global supply contraction. The Fed just raised rates to 3.75% in mid-September while 10-year yields hit 5.24%. That's not a soft landing, that's demand destruction with the bill yet to arrive.