Last week, significant economic data from the US was released after being delayed for several months because of the government shutdown.

The report indicated an increase in jobs. However, a concerning aspect was the substantial decline in government employment.

While the job figures may have been affected by the prolonged gap, the unemployment statistics clearly illustrated a decline in the latter half of the year.

Recent comments from Federal Reserve officials highlight the varying opinions on the policy outlook, which is to be expected.

The release of the consumer price index (CPI) provides clarity behind these differing opinions.

Last month’s CPI data revealed that core annual inflation decreased from 3 percent to 2.6 percent. The data might be distorted due to the shutdown, even as inflationary pressures continued to increase.

Consequently, some Fed officials are advocating for a hawkish approach out of concern that inflation might rise, while others are pushing for a gradual rate cut, with some calling for a more significant reduction. Nonetheless, despite these differing opinions, the overall economic picture is unlikely to shift dramatically, as the job market remains stable and inflation is slowly........

© Business Recorder