This Signal Has Coincided With Every Recession of the Past 65 Years; It Just Flashed Again

The Sahm rule is a measure of labor market deterioration, and it has historically been an accurate recession indicator.The labor market is one of the strongest indicators of overall economic health. When companies are hiring and workers feel secure in their jobs, they both tend to spend more and drive up demand for goods and services. When businesses dial back on hiring plans or lay people off, consumers tend to spend cautiously.Today, the U.S. labor market is at a bit of a middle ground. The unemployment r ...