The Kansas City Fed Labor Market Conditions Indicators (LMCI) suggest the level of activity was little changed and momentum accelerated in August. The level of activity indicator was little changed in August at 1.43. Meanwhile, the momentum indicator accelerated by 0.22 in August from 0.14 to 0.36. As seen in the chart below, the momentum indicator remained above its longer-run average in August even as the level of activity indicator remained near its cyclical high.
These readings likely do not fully describe the state of the labor market at the end of August, as many of the input data series reflect conditions early in the month. For example, data from the Bureau of Labor Statistics’ Household Survey are from the reference period of August 7 through August 13. Additionally, the most recent data from the Job Openings and Labor Turnover Survey (JOLTS) are for July. Therefore, labor market developments in the latter half of August will likely show up in the September 2022 LMCI readings.