The recent slowdown in job creation during the month of October has been met with a positive response from Chicago Federal Reserve President, Austan Goolsbee. In an interview with CNBC, Goolsbee expressed his belief that this slowdown signifies a move towards a more balanced and sustainable labor market.
Goolsbee explains that this type of slowdown is exactly what one would expect and desire at this point in time. It indicates that the labor market is gradually shifting towards a sustainable growth rate. Despite this positive development, Goolsbee emphasizes that there is still work to be done. He asserts that bringing inflation down is of utmost importance for the Federal Reserve.
“Our main focus right now is on reducing inflation. That is our top priority,” says Goolsbee.
As a voting member of the Fed’s interest-rate committee, Goolsbee acknowledges the progress that has been made in curbing inflation. However, he also recognizes that there is more work to be done. Goolsbee highlights the need for a shift in focus away from GDP growth and job creation and towards combatting inflation.
Meanwhile, in the stock market, DJIA SPX is expected to open lower on Tuesday, while the 10-year Treasury note yield BX:TMUBMUSD10Y has slipped to 4.63%.
Overall, Goolsbee’s perspective offers a distinct approach to job creation—balancing sustainable growth with a focus on reducing inflation.