• US economy ended 2024 in a good place
• The economy is resilient
• Process of disinflation has kept going.
• Labor market remains resilient
• The labor market has been cooling gradually.
• Real wages are still up even with labor market cooling.
• The key is that job market has cooled gradually.
• Current unemployment rate remains historically low.
• The job market appears in a stable situation
• The unemployment rate is not increasing rapidly.
• Productivity is one of the supply shocks that helps having a healthy economy with disinflation.
• Is optimistic about productivity.
• Will not comment on policies of incoming administration.
• Immigration has been helpful in balancing the US labor market.
• Uncertain what will happen with immigration trends.
• Uncertain what tariffs will do to the economy and monetary policy.
• It may depend on the permanence of the tariffs.
• Fed is dealing with a wide set of economic scenarios.
• We are dealing with a bump in inflation.
• Watching to see if inflation pressures will remain sticky
• Data will drive what Fed does with policy.
• There is a view Fed can take time on future rate cuts

This article was written by Greg Michalowski at www.forexlive.com.