October’s CPI data showed signs of inflation cooling down. Minutes from the Federal Reserve’s policy meeting released last month showed that the central bank intends to slow down the current pace of rate hikes.
However, the recent employment report indicated stronger-than-expected hiring momentum amid uncertain macroeconomic conditions. Despite mass layoffs, demand for workers continues to outpace the number of unemployed people looking for work. Such a robust labor market is expected to encourage the Fed to continue tightening its policy.
