The Federal Reserve said Friday in a report to Congress that the U.S. labor market is back in the "tight but not overheated" situation it was in before the COVID pandemic threw the economy into disarray.
The report to Congress also included an essay on "Monetary Policy Independence, Transparency, and Accountability" that reiterated the central bank's "operational independence" to make interest rate decisions based on long-term economic considerations instead of short-term political influence.
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Fed officials are getting more concerned about the labor marketFederal Reserve (Fed) Chair Jerome Powell said recent data suggest that they’re getting back on a disinflationary path and that unexpected labor market weakening could prompt a policy reaction, BBH macro analysts note.
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