June jobs panel: We didn't expect fireworks as economy cools

The US labor market saw 206,000 added in the month of June, according to the US Bureau of Labor Statistics. The Morning Brief is joined by a panel of experts to detail what the string of positive employment data ultimately means for the US economy: Glassdoor senior economist Daniel Zhao, Longview Economics director and senior market strategist Harry Colvin, and Interactive Brokers chief strategist Steve Sosnick.

Sosnick believes the state of the economy may not be entirely optimal for equities (^DJI, ^IXIC, ^GSPC), adding that: "When the Fed [Federal Reserve] meets, and we'll get a sense of how nervous they are about it because it does seem that the economy is beginning to decelerate, and then the question becomes 'what are they willing to do about it in the short term?'"

Colvin believes "there's not a lot of job creation, that hiring in small or total jobs in small companies has been flat for most of the past year."

"And so the household survey is picking up on that. And it's showing that really the job market is actually much softer than one would think from just looking at these headline numbers. So I think there's softness emerging. And this is fascinating, really, for the debate around inflation and [interest] rates," Colvin goes on to say.

Lastly, Zhao states that the cooling labor print wasn't exactly sizzling, "but we weren't necessarily looking for fireworks as policymakers look for the economy and the job market to cool down to get inflation under control."

For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.

This post was written by Luke Carberry Mogan.