Jeffrey Roach, Chief Economist at LPL Financial, joins Remy Blaire to discuss the implications of this data for the Federal Reserve, particularly in light of ongoing inflation above the 2% target. Jeffrey notes that while the economy may be poised for a slowdown in the latter half of the year, the Fed could consider cutting rates, albeit cautiously.
The pair also explore the current job market dynamics, highlighting that while layoff announcements have increased, actual layoffs have not followed suit as businesses remain hesitant to fire employees. Instead, they may be opting to reduce hours, which could lead to slower payroll growth.