Jobs report is ‘superb’

In an interview with Bloomberg, Federal Reserve Bank of Chicago President Austan Goolsbee said Friday that he considered the latest labor market report “superb” and noted that additional reports like this one would increase his confidence that the economy The US reached full employment at a low level. inflation.

Key recommendations

You don’t want to overreact to a data point.

If we get more employment reports like this, I’ll be more confident that we’re on track to full employment.

Strong jobs reports will likely mean strong GDP growth.

The vast majority of Fed policymakers believe rates will come much lower over the next 18 months.

You have to be careful about keeping the rates as restrictive as they are.

There are some signs that inflation may be overshooting the target.

We are still far from having to determine where the neutral rate is.

A broad set of labor market data is cooling.

If productivity continues to rise, that means higher growth, a higher neutral rate.