New York Fed survey shows growing concern over US job prospects

Americans grew more worried in October about the labor-market outlook and future unemployment, according to a survey the Federal Reserve Bank of New York released on November 9. The survey captures households’ expectations about future job conditions.^[1]

The increase in job worries raises the possibility that households will become more cautious with spending.^[1] If people save more to prepare for a possible loss of income, they may postpone shopping, travel or entertainment, putting pressure on sales at businesses that depend on those purchases. The size of the effect depends on whether the concern persists and households actually cut spending.

Impact

What to watch next

• US initial jobless claims on November 12 will help show whether job worries are accompanied by rising job losses; the estimate is 195,000, up from 189,000 previously.