Oil Prices Below $70 a Barrel May Support Second-Half Economy, Economist Says

BMO senior economist Sal Guatieri said the decline in the unemployment rate may reflect weaker competition among job seekers rather than strong hiring. According to Jin10, Guatieri said unemployed workers may now have improved chances of finding jobs, not because recruitment is robust, but because competition for jobs has eased. He added that this also helps explain why job openings are increasing. Nationwide chief economist Kathy Bostjancic said that even after factoring in employment data that fell short of expectations, she still believed the economy was well prepared for the second half of the year. She said oil prices recently fell below $70 per barrel and should gradually feed through to lower gasoline prices, which she said would further support consumer spending and the broader economy.