As the article spells out, wage growth is still taking place though at a very modest rate.
Wage growth is wage growth, so whether for high-paying or low-paying jobs it adds to interest rate pressure. Today’s bond action bears that out. Bonds tend to be a much better gauge of economic activity that stocks, which are influenced heavily by emotions. and they are getting whacked this morning.
And while I agree that numbers can and are subject to revision, today’s release was far beyond expectations and is a continuation of a months-long trend. Even with potential downward revisions it’s a whopper.
Bottom line: it’s not as though this bump is an unmitigated win for the administration. It shows that inflation is not being tempered by the Fed.
Seems like only yesterday that Biden was playing his “demented doddering
old codger act” to con Hur WRT Biden’s mishandling of classified documents.
But today, after revving up his campaign, Biden is now
“a trusted beacon of Democrat leadership,”
with his steady hand firmly on the economic tiller.
Correct, good comment.