The U.S. labor market remains resilient in the face of lingering macro headwinds and massive tech layoffs. The unemployment rate slipped to 3.4% in January, the lowest since 1969. While interest rate hikes by the Fed are expected to continue, the pace could be slower.
Moreover, given the strong job market, Goldman Sachs has slashed its U.S. recession estimates. The bank believes there's now a 25% chance the U.S. will suffer a recession within 12 months, down from the previous forecast of 35%.
