Moody’s chief economist Mark Zandi sees 'big warning' signs in June Jobs report for the US

Mark Zandi, the chief economist of Moody’s Analytics has cautioned that the June employment report paints an overly optimistic picture of the US labour market. According to a report by Benzinga, in a series of posts shared on social media platform X (formerly known as Twitter) Zandi argued that commentary around the report was “much too dismissive of how weak the numbers looked, all the noise in the data notwithstanding.” Zandi noted that payroll employment posted only modest gain in June, while in the months prior to June, job gains were revised downward. He further added that most of the hiring came from the healthcare sector rather than being broadly distributed across the economy.“Not only did employment as measured by the payroll survey post a small gain in the month, but previous month’s gains were revised much lower, and the bulk of the job gains were in healthcare.