The labor market has been pretty resilient these last few months despite inflation. Last month’s data, however, proves that even the job market has a breaking point.
We found out Friday morning that the economy lost 23,000 jobs in July. Previous data on the labor market also wasn’t as great as we thought — May and June data were revised down by some 100,000 jobs. On the road to fighting inflation, will these cracks in the labor market spell trouble for the Fed?
For this week’s Weekly Wrap, “Marketplace” host Kai Ryssdal spoke with David Gura at Bloomberg and Catherine Rampell at MSNOW and The Bulwark about this week’s data, the Fed’s dual mandate, and how Fed governors might be feeling about Chair Kevin Warsh’s move to reduce forward guidance.
To hear their conversation, click the audio player above.