No surprise that Kashkari isn’t in a rush
The battle lines on Fed tapering are somewhere between September and January. It’s no surprise that Kashkari is on the dovish end of the spectrum and said he wants to see “a few more” solid jobs reports before advocating for a taper.
He said the objective is to restore the labor market to at least pre-covid levels.
The tricky read through on US employment is that so many people aren’t participating the jobs hunt. After Sept 6, special benefits will end but the pandemic won’t. Is it that people are collecting government money or that people who can afford to stay home (or retire) aren’t planning to return any time soon?