Employment is a late cycle indicator of an economic slowdown. This cycle is no different as jobless claims are still falling by over 200k in the latest reading.
If you look back to 2000 and 2008, claims turned to positive inflection and then climbed to over 200k in the depths of those recessions.
While the job market is still healthy, there are clear signs of layoffs coming in short order. Here are just a few recent announcements.
EXCLUSIVE: Tesla CEO Elon Musk has a ‘super bad feeling' about the economy and wants to cut about 10% of jobs at the electric carmaker, he said in an email to executives seen by @Reuters https://t.co/4cyJ5oo8Ip @HyunjooJin reports 1/6 pic.twitter.com/2A6xOR7TRg
— Reuters (@Reuters) June 3, 2022
Due to current market conditions, @Coinbase is immediately freezing hiring and rescinding job offers people had already accepted https://t.co/g2XqjfsYFX
— @levelsio (@levelsio) June 2, 2022
Notable 2022 U.S. tech layoffs 📉
– Better ↓ 50%
– Virgin Hyperloop ↓ 50%
– Knock ↓ 46%
– MainStreet ↓ 33%
– Glossier ↓ 33%
– On Deck ↓ 25%
– Cameo ↓ 25%
– Peloton ↓ 20%
– Robinhood ↓ 9%— Luca Monk (@lucamonk) May 25, 2022
Finally there is JP Morgan CEO Jamie Dimon who is warning of an “economic hurricane” – sounds like he may be listening to Runnymede's investor call as we made the financial hurricane call back in April.
Jamie Dimon says there's a "hurricane" coming for the US economy and that "you better brace yourself" https://t.co/s1eoshKIoh
— Bloomberg (@business) June 1, 2022
Feature image from Unsplash
