Economy is slowing much faster than the Fed expected: Mohamed El-Erian
What was the prediction for job creation by LSEG economists compared to the actual figures reported for May?
The prediction for job creation by LSEG economists was an increase of 175,000 jobs in May. However, the actual figures reported for May showed that U.S. companies added 152,000 jobs, which was below the predicted number.
What economic indicators did Mohamed El-Erian mention as being disappointing recently?
Mohamed El-Erian mentioned several disappointing economic indicators recently, including:
- Retail sales
- PMI manufacturing numbers
- ISM numbers
- Job vacancies, which were considerably below expectations
These indicators point to an economy that is slowing down much faster than the Federal Reserve and many experts had anticipated.
How did the ADP National Employment Report describe the state of hiring by U.S. companies in May?
The ADP National Employment Report described the state of hiring by U.S. companies in May as slower than expected. According to the report, companies added 152,000 jobs last month, which was below both the 175,000 increase predicted by LSEG economists and the downwardly revised April gain of 188,000. This marked the worst month for job creation since January. The report pointed to a labor market that is continuing to cool in the face of higher interest rates.