Urging Caution in Economic Interpretation

Federal Reserve Governor Lisa Cook emphasized the need for caution and humility among policymakers when interpreting recent economic data. Speaking at a panel in Boston, she highlighted the importance of monitoring a broad range of indicators to avoid overlooking significant economic shifts.

Concerns Over Recent Jobs Report

Cook expressed concerns regarding the latest jobs market report, noting an average job growth of only 35,000 per month over the last three months ending in July. She pointed out major revisions to May and June data, suggesting these could indicate a turning point in the economy.

Tracking Inflection Points

Beyond payrolls, Cook stressed the importance of tracking indicators that signal inflection points, underscoring the underlying uncertainty in current economic conditions.