What Biden and Powell should think of the employment report
The monthly employment report for January 2021 from the U.S. Bureau of Labor Statistics revealed that the job market had improved more than anticipated. Both President Joe Biden and Federal Reserve Chair Jerome Powell must consider the ramifications of this research.
The good employment report can be viewed as a victory for President Biden. His administration has prioritised job creation and helping individuals affected by the pandemic financially. The rise in employment demonstrates that the President’s efforts are having an impact.
The employment report indicates to Federal Reserve Chair Jerome Powell that the economy is still improving, which may result in higher inflation. Although the Fed has adopted a cautious monetary policy, the better-than-expected job data may prompt a change to a more aggressive strategy.
Overall, the job report was encouraging for the state of the American economy, and both President Biden and Powell may be affected.