It strikes the tax of uncertainty in the time when the economy shows signs of the reflection point

The July Jobs report can indicate the weakest of the expected and the declining reviews to the previous two months to two months. Federal Reserve Policy makers continue to monitor economic conditions and weigh interest rate discounts.

The governor of the Federal Reserve, Lisa Cook, spoke to a committee with the Federal Reserve Chairman in Boston Susan Collins at Boston Federal Bank. Cook said the report is “related” because it could indicate that the American economy reaches a turning point.

“We must be careful and humble because we must monitor all kinds of indicators. Let’s say, for example, we have just received this job report, as you know, as you know, 35,000 jobs per month during the past three months ending in July.” These reviews are somewhat typical for the transformation points, which again, speak to uncertainty. ”

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Collins and Cook also discussed the impact of uncertainty on the economy, as business leaders are looking to make decisions on things such as employment and investment and pricing their products when their costs are transformed due to A higher tariff The Trump administration has been carried out.

Cook said she was hearing from Business leaders On how “uncertainty tax” affects decisions about things such as investment, employment and pricing.

“The main thing that I heard, and I was trying to get more and more accurate estimates, is a tax of uncertainty,” said Cook. “So how many time, executive managers and immediate directors – of all kinds of financial organizations, financial institutions, small and large companies, and non -profit organizations – spend the amount of time they spend a week in managing all this. To a person, the estimate ranges between 20 and 45 percent.”

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Cook noted that companies are considering pricing decisions in different ways, saying that “some of them are proactively raised prices, and some are waiting to know the type of the deal they can get from their suppliers.”

She added: “There is just uncertainty in all fields, but I believe that it is really interesting that regardless of the sector, regardless of the type of business they eat, they talk about the tax of uncertainty.”

Collins added that she had also heard from business leaders about the lack of certainty and that companies were in a detention style while they were waiting to find out how consumer prices are developing in response to the tariff levels that turned into Trump administration Reduces or raises the fees in response to its negotiations with commercial partners.

Inflationary pressures In the American economy, the number of highly accessible heights decreased for 40 years in 2022, and has approached the 2 % length of the Federal Reserve, although inflation is still higher than this level and continues to avoid American budgets.

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“I also hear about the uncertainty that leads to waiting and seeing regarding how to think about pricing decisions, especially leaving a period of high inflation. Of course, it has decreased, it is closer to the goal. But this means that the price levels are very high, and this means Consumer sensitivity Collins said pricing and price changes are high.

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“Most of the literature he realized focused on real activity, but the idea of the impact of the immediate uncertainty on pricing decisions … Frankly, I did not think about it, but it is certainly something I heard specifically,” Collins said.