News August 21, 2024: As reported on CNBC, based on (delayed) data from the Bureau of Labor Statistics (BLS), the U.S. economy created 818,000 fewer jobs than initially reported from April 2023 to March 2024, leading to significant revisions in key sectors and raising concerns about the labor market’s strength ahead of a possible Federal Reserve rate cut.
Job Creation Revisions
- Downward Revision: The U.S. economy created 818,000 fewer jobs than originally reported in the 12-month period through March 2024, representing a nearly 30% reduction from the initially reported 2.9 million jobs.
- Largest Revision Since 2009: The total payrolls revision of -0.5% is the largest since 2009.
- Unemployment Rate Increase: The unemployment rate rose to 4.3%, up 0.8
percentage points from the 12-month low, triggering concerns of a potential recession based on the “Sahm Rule.
- Federal Reserve Considerations: The weaker labor market could influence the Federal Reserve to lower interest rates, with expectations for the first rate cut in four years at the upcoming September meeting.
Bottom Line: Now is the time to be informed if you are planning to purchase or sell a Santa Fe property in the next 12 months. Why? Predicted changes in the future mortgate rate will impact both the demand and supply for housing. It may be best to have a consultation to review your options ahead of what could be a MAJOR change. Here is the data from the 2nd quarter of the Santa Fe market to give you a benchmark and trends. Why not schedule a confidential conversation. There no fee or obligation for a consulation. Call or text me at 505-660-4541 to set up a call or zoom or meeting. Thank you for reading. Emily Medvec