TELETRADER News
2/7, 7:17 PM
(Source: TeleTrader)
Powell: Fed expects labor market to soften
United States Federal Reserve Chair Jerome Powell said on Tuesday at a panel organized by The Economic Club of Washington, DC, that the central bank expects the labor market to soften, as the main goal is still to bring inflation down to 2%.
Nevertheless, he stated that although this has been the case over history, "this cycle is different from other cycles" and it "confounded all sorts of attempts to predict" what would happen.
Powell noted that it is good that "we are seeing wages moderating" in a strong labor market. He added that wage increases have fallen to a "level that is closer to what would be sustainable."