Arab Today, arab today fed divided over improvement of us jobs market
Last Updated : GMT 16:00:25
Arab Today, arab today
Arab Today, arab today

Fed divided over improvement of US jobs market

Arab Today, arab today

Arab Today, arab today Fed divided over improvement of US jobs market

The US Federal Reserve
Washington - AFP

Federal Reserve policymakers showed increasing divisions in their last meeting over how much the US jobs market has improved, a key factor in deciding how soon they should tighten policy.
While the participants of the July 29–30 Federal Open Market Committee remained nearly unanimous in their support for the existing Fed policy course, the minutes of the meeting, released Wednesday, showed an intensifying debate over plans for raising interest rates late next year.
The record showed the discussion increasingly focused on how much the labor market has tightened and how that would impact inflation, which has remained modest so far.
So-called inflation hawks outside the Fed, and a small number inside the central bank, have been calling for an accelerated schedule to increase the benchmark Fed funds rate, which has been held near zero for nearly six years.
The minutes suggested that there were more hawkish views on the FOMC than just the known dissent of Charles Plosser, the head of the Fed's Philadelphia branch.
They showed that several FOMC members felt the sharp fall in the unemployment rate to 6.2 percent from 7.3 percent a year ago, was a good indicator of the tightening situation.
But others said the high numbers of long-term unemployed and part-time workers represented continued slack, or weakness in the market, that could not be seen in the jobless rate.
Despite the jobless rate having fallen quickly, "many participants continued to see a larger gap between current labor market conditions and those consistent with their assessments of normal levels of labor utilization," the minutes said.
Economists generally see a tightening labor market as likely to push up wages, fueling an acceleration of price rises.
So far, however, that has not happened. The US consumer price index rose just 0.1 percent in July and 2.0 percent year-on-year, and real wages have increased just 0.3 percent in one year.
The more hawkish views on the Fed panel argued that there were solid signs of improvement, including the diminishing number of long-term unemployed and part-time workers.
A couple participants argued as well that changes in the labor market could mean that wage pressures in fact "might not be a reliable leading indicator of higher inflation."
If they are right, inflation could pick up, forcing the Fed's hand on interest rates, without any sign of rising earnings in the jobs market.
That will likely be one of the issues debated when central bankers, led by Fed Chair Janet Yellen and the European Central Bank chief Mario Draghi, gather for three days starting Thursday in Jackson Hole, Wyoming for the Fed's annual policy symposium.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today fed divided over improvement of us jobs market Arab Today, arab today fed divided over improvement of us jobs market

 



Arab Today, arab today
Arab Today, arab today Mohamed Bahari prepares new collection for spring 2017

GMT 06:15 2017 Monday ,27 February

Mohamed Bahari prepares new collection for spring 2017
Arab Today, arab today 17.4 million tourists visit UAE in 2016

GMT 00:47 2017 Monday ,27 February

17.4 million tourists visit UAE in 2016
Arab Today, arab today Sheds light on major steps in 12-year career

GMT 06:07 2017 Monday ,27 February

Sheds light on major steps in 12-year career
Arab Today, arab today UN envoy sets out framework

GMT 07:25 2017 Monday ,27 February

UN envoy sets out framework
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Reasons for the delay 'On the Stairs of Servants'

GMT 06:42 2017 Saturday ,25 February

Reasons for the delay 'On the Stairs of Servants'
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"

GMT 10:51 2017 Saturday ,25 February

Pigs with edited genes show resistance

GMT 14:04 2017 Friday ,24 February

Messi visit will contribute in tourism

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday