Diffusion Indexes, 3-Month Span: Total Nonfarm

SMS00000000000000022 • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

70.60

Year-over-Year Change

10.83%

Date Range

1/1/1991 - 6/1/2025

Summary

The Diffusion Indexes, 3-Month Span: Total Nonfarm measure the breadth of employment gains or losses across different sectors of the U.S. economy. This key metric provides insights into the overall strength and momentum of the labor market.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

The diffusion index tracks the percentage of industries reporting increases in employment over a 3-month period. It offers a more comprehensive view of employment trends compared to headline nonfarm payroll figures, capturing the underlying breadth of labor market changes.

Methodology

The data is collected and calculated by the U.S. Bureau of Labor Statistics based on monthly surveys of businesses.

Historical Context

Economists and policymakers monitor this index to assess the overall health and direction of the U.S. economy.

Key Facts

  • The index ranges from 0 to 100, with 50 indicating an equal split between industries gaining and losing jobs.
  • A reading above 50 signals more industries are adding jobs than shedding them.
  • The index helps identify turning points in the business cycle.

FAQs

Q: What does this economic trend measure?

A: The Diffusion Indexes, 3-Month Span: Total Nonfarm measure the breadth of employment gains or losses across different sectors of the U.S. economy.

Q: Why is this trend relevant for users or analysts?

A: This metric provides a more comprehensive view of labor market conditions than headline employment figures, offering insights into the underlying strength and momentum of the economy.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the U.S. Bureau of Labor Statistics based on monthly surveys of businesses.

Q: How is this trend used in economic policy?

A: Economists and policymakers monitor this index to assess the overall health and direction of the U.S. economy, which informs decision-making and policy responses.

Q: Are there update delays or limitations?

A: The data is released monthly with a lag, providing a timely but not real-time view of employment trends.

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Citation

U.S. Federal Reserve, Diffusion Indexes, 3-Month Span: Total Nonfarm (SMS00000000000000022), retrieved from FRED.