Challenger, Gray & Christmas reported 33,429 layoff intentions in July, down from 45,849 in June and 62,075 a year ago.
The technology sector led layoff intentions in the month and artificial intelligence the most cited reason for the fifth straight month.
"The pace of layoffs fell dramatically this summer," said Andy Challenger, the company's chief revenue officer. "Layoff plans continue to be announced primarily in tech, and artificial intelligence is still the story, as investments in the technology reshape organizations."
Nonfarm productivity rose by 1.4% in Q2 after a 0.8% gain in Q1, reflecting faster output growth and slower hours worked growth.
Unit labor costs rose by 1.3% for the second straight quarter. The acceleration in productivity growth was offset by a faster pace of compensation growth.
June wholesale inventories were revised down to a 0.2% increase from a 0.3% gain in the advance reading and following 0.3% increase in the previous month.
At the same time, wholesale sales decreased by 3.0% after a 3.5% gain.
Combined with already released data for the retail and factory levels of distribution, business inventories are on track for a 0.1% gain while business sales are tracking down 1.1%. Both will be released on Aug. 14, when updated retail inventory and sales estimates will be publish.
Initial jobless claims increased by 1,000 to 199,000 in the week ended Aug. 1, but the four-week moving average for the sixth straight week to 198,750, the lowest level since 2022.
Insured claims rose by 24,000 to 1.801 million in the week ended July 25.
Natural gas stocks rose by 33 billion cubic feet to 3.117 trillion cubic feet in the week ended July 31, down 0.4% from a year earlier but 6.7% higher than the seasonal average for the current week over the previous five years.
The Q3 GDP nowcast estimate from the Atlanta Fed is for a 5.8% gain, revised down from a 5.9% increase in the previous estimate.