Profits Soar as Layoffs Signal Jobless Boom | JQJO

Corporate profits are surging and stocks are setting records, even as companies have axed nearly 1 million jobs this year, a split Chen Zhao of Alpine Macro calls a 'jobless boom.' He points to fast-spreading AI that lifts productivity while damping labor demand. With the Labor Department’s reports delayed by the shutdown, ADP shows only 42,000 private jobs added in October, and Comerica’s Bill Adams says overall employment was likely flat. The jobless rate stood at 4.3% in August, aided by a shrinking labor pool. Others blame post-pandemic overhiring, not AI, for the cuts.