Economics
Goldman Sees Rate Hikes Ahead as Slack Wrung Out of Labor Market
- With tax cuts now signed, it’s Trump’s economy going forward
- Fed’s been balancing positive growth news with weak inflation
Will the Fed Stay on Track? Here's How 2018 Might Pan Out
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President Donald Trump’s tax cuts hand him ownership of wherever the U.S. economy turns starting in 2018, and at Goldman Sachs the view is that tighter monetary policy is ahead.
Whatever slack is left in the labor market is seen being eliminated in 2019, pushing the jobless rate to 3.3 percent, a level not seen in decades, according to a Goldman Sachs analysis, giving Trump’s new Federal Reserve chair a reason to raise rates.