Job Openings Hit Near Five-Year Low Amid Government Shutdown

Job openings in the U.S. fell to 101.9 in October, marking the lowest level since February 2021. The Indeed Job Postings Index, which uses February 2020 as a baseline of 100, reflects a 0.5% decline from early October and a 3.5% drop since mid-August. The ongoing government shutdown has disrupted key labor reports, including the Bureau of Labor Statistics' monthly Job Openings and Labor Turnover Survey (JOLTS), a critical metric for Federal Reserve policymakers.

August's JOLTS report, the most recent available, showed stagnant openings at 7.23 million—flat from July but 7% below January levels. Hiring momentum continues to wane, with Indeed data revealing shrinking job ads and softer wage growth. Year-over-year salary increases slowed to 2.5% in August, down from 3.4% at the start of 2024.

The Fed, now cutting rates after a prolonged pause, faces mounting concerns over labor market deterioration. This slowdown compounds existing economic uncertainties, though crypto markets remain attuned to macroeconomic shifts that could influence risk asset trajectories.