| Actual | Previous | Consensus | |
|---|---|---|---|
| Not Adjusted | 2.2% | 2.1% | |
| Adjusted | 1.9% | 1.9% | 1.9% |
Highlights
The labour market remained very tight at the start of 2023. Seasonally adjusted joblessness fell a further 1,180 or 1.3 percent on the month to 87,397, leaving the unemployment rate unchanged at 1.9 percent. This was in line with the market consensus and 0.4 percentage points short of its reading just before the arrival of Covid. Unadjusted, the number of people out of work rose 3,835 or 4.0 percent to 100,716, raising the rate from 2.1 percent to 2.2 percent. That said, this was still 0.5 percentage points short of its level a year ago, matching the gap seen in December.
However, seasonally adjusted vacancies fell sharply again, this time down a hefty 5,034 or 8.1 percent on the month to 57,095. This equated with an unadjusted yearly decline of 11.3 percent following a 2.0 percent gain previously.
Consequently, last month's data are mixed. The labour market has little spare capacity but the demand for new workers is clearly cooling. The latter should sit well with the SNB although it might not be enough to prevent another hike in the policy rate next month. In any event, today's update puts the Swiss ECDI at minus 5 and the ECDI-P at 2. Both measures indicate that economic activity in general is performing much as the markets expected.
However, seasonally adjusted vacancies fell sharply again, this time down a hefty 5,034 or 8.1 percent on the month to 57,095. This equated with an unadjusted yearly decline of 11.3 percent following a 2.0 percent gain previously.
Consequently, last month's data are mixed. The labour market has little spare capacity but the demand for new workers is clearly cooling. The latter should sit well with the SNB although it might not be enough to prevent another hike in the policy rate next month. In any event, today's update puts the Swiss ECDI at minus 5 and the ECDI-P at 2. Both measures indicate that economic activity in general is performing much as the markets expected.
Market Consensus Before Announcement
The seasonally adjusted rate is expected to remain steady at 1.9 percent.
Definition
The unemployment rate measures the number of unemployed as a percentage of the labour force. Both seasonally adjusted and unadjusted monthly data are provided.
Description
Like the employment data, unemployment data help to gauge the current state as well as the future direction of the economy. Employment data are categorized by sectors. This sector data can go a long way in helping investors determine in which economic sectors they intend to invest.
By tracking the jobs data, investors can sense the degree of tightness in the job market. If employment is tight it is a good bet that interest rates will rise and bond and stock prices will fall. In contrast, when job growth is slow or negative, then interest rates are likely to decline - boosting up bond and stock prices in the process.
By tracking the jobs data, investors can sense the degree of tightness in the job market. If employment is tight it is a good bet that interest rates will rise and bond and stock prices will fall. In contrast, when job growth is slow or negative, then interest rates are likely to decline - boosting up bond and stock prices in the process.
