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Replacement Pressure Index

Composite Study | Emerging | As of 2026-07-10 | Freshness 196d

Replacement Pressure Index is 'emerging' with a score of 46.0. Child studies are contributing as follows: AI Buildout 52.2, White-Collar Labor 46.0, Productivity-Payroll Gap 55.3.

45.99 Score
196 day(s) Freshness
2026-07-10 As Of

Component Scores

Component Score
AI Buildout 52.16
White-Collar Labor 45.99
Productivity-Payroll Gap 55.32

Current Drivers

Driver Component Score Raw Transformed
Information processing equipment momentum Software and compute capex 83.96 30.90 30.90
Semiconductor industrial production Semiconductor supply tightness 75.47 188.01 15.22
Private fixed investment in intellectual property products Software and compute capex 73.74 384.18 44.54
Professional and business services hires Hiring deterioration 56.53 4.30 8.51
Initial unemployment claims Claims spillover 55.35 215000.00 -5.70
Continuing unemployment claims Claims spillover 52.19 1814000.00 -6.93
Business-sector labor-share proxy Labor-share squeeze 80.33 -2.90 390.00
Temporary-help employment Hiring deterioration 46.36 2499.20 -0.20

Metrics

Metric Value
Score 45.99
Overlay Score N/A
Freshness Days 196

Charts

Composite score history

Composite score history

Composite history is built only from child-study score histories and fixed weights.

Current component waterfall

Current component waterfall

The waterfall shows each child study's weighted contribution to the latest composite score.

Notes

  • Higher scores mean AI-enabling buildout, labor softening, and productivity-payroll decoupling are lining up at the same time.

Commentary

The Replacement Pressure Index is in an emerging phase, signaling modest but growing upward pressure on labor costs and hiring constraints.

  • AI Buildout drivers — Software & compute capex momentum (score 83.96) and semiconductor supply tightness (score 75.47) — are the strongest contributors to the composite score.
  • White‑Collar Labor shows rising claims spillover (initial claims –5.7, continuing claims –6.9) and hiring deterioration (score 56.5).
  • Productivity‑Payroll Gap reflects a labor‑share squeeze (score 80.3) with a –2.9 raw labor‑share change.

Caveat: The index remains emerging and is based on a mix of high‑frequency and lagged series; recent volatility could shift the outlook.