U.S. labor market shows signs of slowing

The U.S. labor market is slowing despite a drop in new unemployment claims to 209,000, lower than the expected 226,000. The Federal Reserve's minutes indicate a cooling labor market, with a 525 basis point hike in the policy rate since March 2022. The Bank of America Institute reports rising joblessness and pay disruptions across income groups. Continuing claims fell to 1.840 million, reflecting a cooling labor market and seasonal fluctuations.