Labor market “activity increased and momentum remained high in July,” as the Federal Reserve Bank of Kansas City Labor Market Conditions Indicators (LMCI) grew to 0.51 in July from 0.36 in June, according to the Bank.
The momentum indicator slid to 1.24 from 1.29 in June.
A zero reading indicates the indicator is at its historical average.
The activity indicator rose 0.23 in the past half year, with the largest contributor coming from an increase in the job flows from U to E. Positive contributions were made by 17 variables while 6 were negative and one was neutral.
The momentum indicator’s largest contributor was initial claims. Positive contributions were made by 19 variables, while 5 were negative.