Labor market “activity decreased and momentum remained high in June,” as the Federal Reserve Bank of Kansas City Labor Market Conditions Indicators (LMCI) dropped to 0.33 in June from 0.50 in May, according to the Bank.
The momentum indicator rose to 1.30 from 1.23 in May.
A zero reading indicates the indicator is at its historical average.
The activity indicator rose 0.05 in the past half year, with the largest contributor coming from an increase in the job availability index (Conference Board). Positive contributions were made by 13 variables while 11 were negative.
The momentum indicator’s largest contributor was initial claims. Positive contributions were made by 18 variables, while 6 were negative.