- With Jackson Hole this week, we are seeing a lot of news regarding the FED. Most FED officials highlighted inflation risks as outweighing concerns over the labor market at their meeting last month. This is a direct result of tariffs fueling a growing divide within the central bank’s rate-setting committee. Officials have acknowledged worries over higher inflation and lower employment, but a majority of the 18 policymakers in attendance “judged upside risk to inflation as the greater of these two risks.” With this said, all eyes/ears will be on Powell’s speech this Friday.
- With today’s (8/21) Jobless claims numbers out, they are showing signs of a slowing labor market. Applications for US unemployment benefits rose last week to the highest level since June, and continuing claims also climbed. This continues to add evidence that the US labor market is slowing, a strong gauge for the FED regarding setting policy.
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