U.S. Nonfarm Payrolls smashed expectations again but other data points show the labor market coming back into balance. A balanced labor market with less employee turnover may allow corporations to focus on increasing productivity. Economic growth in the second quarter may be cooler than expected as consumer spending has slowed a touch. S&P 500 concentration reached a new multi-decade high as the largest stocks have continued to outperform everything else. The transition to clean energy. Refilling the Strategic Petroleum Reserve (SPR). East coast ports.
1. The ratio of job openings to unemployed workers has fallen back to pre-pandemic levels:
![](https://blog.investbcm.com/wp-content/uploads/2024/06/6.7-job-openings.png)
Source: The Daily Shot 6/5/2024
2. While it’s debatable whether “AI Technologies” will drive productivity, a clear trend higher would likely be a positive for both stocks and the economy:
3. A drag from net exports and lower expectations for consumer spending have been slightly offset by higher expectations for inventory builds and nonresidential fixed investment:
4. U.S. real personal income growth has flatlined recently but remains strong over the past year:
![](https://blog.investbcm.com/wp-content/uploads/2024/06/6.7-real-personal-income.png)
Source: The Daily Shot 6/3/2024
5. Spending on services has moved continually higher while spending on goods has been more volatile:
6. Is this a bet that passive investors intend to make?
7. The largest companies sport premium valuations compared all other U.S. companies:
8. Small caps are expected to grow earnings faster than large caps in 2024:
9. Continued growth in clean energy usage will continue to drive infrastructure investment:
10. Batteries are currently an expensive solution, but they increase the usability of clean energy:
11. Recently announced SPR purchases should help to put a floor on the price of oil and stimulate continued domestic production:
12. Thankfully, the tragedy at the Baltimore port hasn’t had a broader regional impact: