U.S. job postings rose sharply in September

In September, U.S. employers significantly boosted their job postings, with openings reaching 7.5 million, the highest level since May and a notable increase from the revised 7.19 million in August, according to the Labor Department's report. This surge in job openings, up from a recent low of 6.9 million in March, signals a potential improvement in hiring trends, although sustained growth over several months would be required to confirm real progress.

The gross hiring, which includes job gains before accounting for resignations or layoffs, also rose in September, while layoffs declined, indicating a relatively stable labor market despite higher prices and inflation concerns. Heather Long, chief economist at Navy Federal Credit Union, noted that despite economic headwinds, companies are gradually increasing their hiring efforts.

However, Nicole Bachaud, a labor economist at ZipRecruiter, cautioned that high inflation and increased interest rates may hinder hiring in the near future, as operating costs for businesses and expansion expenses rise. The October jobs report, expected to show around 65,000 new positions added, would be a modest improvement from September's 29,000, and the unemployment rate is projected to remain at the low rate of 4.2%.

The sharp decline in layoffs to 1.64 million in September, the fewest since March 2025, and the sharp rise in job quits to 3.37 million, the highest in about 18 months, suggest a resilient job market where workers are confident in finding new opportunities, even as economic conditions remain challenging.