"The US economy is still growing," said Claudia Sahm, the chief economist at New Century Advisors, a former Federal Reserve economist, and the creator of the Sahm rule.
Despite rebuking the idea that the US is in a recession, Sahm does have concerns about the labor market and high interest rates.
Advertisement"The most important lever to pull is to normalize interest rates," Sahm said, joining a chorus of economists who say the Federal Reserve has waited too long to cut interest rates.
The Fed decided to hold interest rates steady in its July meeting at the end of the month.
It's not surprising that the labor market has cooled after the booming post-pandemic recovery.
Persons:
—, Claudia Sahm, Sahm, It's, it's
Organizations:
Service, New Century Advisors, Federal Reserve, Business, Fed