Job openings increased in May right after the drop experienced in April. This data eased concerns regarding the job market in the United States. Open positions increased by 195,000 to 3.64 million. The data countered that of the Labor Department report that stated a 294,000 drop in April. Another report showed confidence among small businesses dropped in June.
The increase in demand for workers shows that some companies see the need to expand as sales improve. The report also showed that the number of firings increased, which was due to the European debt crisis as well as the slowdown in growth of emerging markets like China.
Stocks dropped for the fourth straight day as investors are becoming pessimist about the earnings season. The Standard & Poor’s 500 Index dropped 0.8 percent to close at 1,341.47 in New York. The yield on the benchmark 10-year Treasury note dropped to 1.50 percent from 1.51 percent.
Manufacturing in the United Kingdom surged in May. This could be due to the additional working day after a public holiday was moved to last month. In China, imports grew less than expected in June. This gave its trade surplus a three year high and added pressure on its government to support demand as the global economy slows.
Confidence among small companies in the United States waned in June to its lowest level since October. It was caused by concerns that sales and the economy will deteriorate. This was according to a report released Tuesday.
The National Federation of Independent Business’ optimism index dropped to 91.4 from 94.4 in May. This is the biggest monthly decline in the past two years. Eight of its ten components contributed to the drop.
The increase in job openings in May released by the Labor Department was broad-based. It included manufacturers as well as state and local government agencies. Employers belonging to the arts and industry had fewer job openings.