Economic Commentary – October 6, 2025

The US Government Shutdown continues, swamping most of the other economic storylines. However, the ADP employment report from last week, showing 32,000 jobs lost in September (excluding any federal employment job losses, which are not counted by ADP), continues to reverberate. Whether a result of undeniable negative signals coming from job markets or of elected officials […]

Economic Commentary – September 29 2025

It will be quite some time before the most significant effects of a less restrictive monetary policy become apparent. New home sales, for example, have already picked up as lower mortgage rates have combined with builder incentives to lower purchase prices, yet the far-larger market for existing home sales remains constrained by high price points. Car […]

Economic Commentary – September 22 2025

Amid the focus last week on the FOMC meeting and the interest rate decision, the threat of a government shutdown wasn’t a dominant issue; there is only so much conflict one can handle at one time. However, the looming deadline for funding the federal government after the current fiscal year ends on September 30 is now […]

FOMC Commentary – September 17, 2025

The Federal Open Market Committee (FOMC) voted to lower the Federal Funds rate target range by 25bps, from 4.25%-4.5% to 4%-4.25%. The context provided for this move was as important as the interest rate cut itself, slowing employment growth but continued inflation at levels “somewhat” higher than desirable.

Economic Commentary – September 15, 2025

The burning question this week is NOT “What Will the Federal Reserve Do?” It is the question of how bad the US labor market really is, and it is a question that will not be answered. But it will be much discussed, especially on Wednesday, during Federal Reserve Chairman Powell’s press conference following the Federal Open […]

Economic Commentary – September 8, 2025

The data being released in the next few days should cause a certain amount of acid reflux, both in global financial markets and in Washington, D.C. One statistic that seldom generates much attention outside of economic circles is the annual benchmark revision (think of it as a “true-up” with all the now-available data) in US […]

Economic Commentary – September 2, 2025

Lost in the sigh of relief that the inflation numbers (Personal Consumption Expenditures Index, or “PCE”) last Friday weren’t all that bad was the fact that inflation has conclusively ceased its movement to the Federal Reserve target of 2%. Given that the Federal Reserve has not changed its target inflation rate, it would normally be assumed […]

Economic Commentary – August 25, 2025

The White House’s intense focus on the monthly labor market revisions by the Bureau of Labor Statistics (BLS) has muddied the debate over the true health of US employment and its near-term direction. Even without the revisions, there would be serious questions as to the policy implications of the nonfarm payroll numbers. For example, is the […]