With the government back open and a little more official data coming out, the WSJ reports a picture of the typical Fed dilemma ahead:
“Hiring Defied Expectations in September, With 119,000 New Jobs“
The latest data will likely do little to resolve the debate at the Federal Reserve, where some policymakers, wary of inflation, want to leave rates on hold, while others are pushing for a rate cut in December as insurance against a labor market deterioration.
Hawks can point to the bump up in job growth as a reason to postpone any further easing, while doves can focus on rise in the unemployment rate, as well as the general trend toward weaker job growth, as reasons to cut. Thursday’s report was the last official snapshot the Fed will see before the next rate-setting meeting in December. As a result of the shutdown, the Labor Department pushed back its release of the November jobs report to Dec. 16, the week after the rate decision.
“I’m sure we’ll see plenty of articles now claiming that AI is creating jobs, right?”
People who think there isn’t enough work to go around must not be moms or be fighting infertility.
Economist Writing Every Day 