Strategist: Last Year's Rate Cut Was a Mistake, Latest Non-Farm Payrolls Present Complex Situation for the Fed

Odaily News Carson Group's Chief Macro Strategist Sonu Varghese stated that the latest labor data indicates the economy is adding enough new jobs to keep pace with population growth. However, he pointed out: "This will present a more complex situation for the Federal Reserve, and considering rate cuts makes no sense, especially given the scale of the impending inflation shock." He added that the inflation issue existed even before the Middle East crisis that caused energy prices to soar, and "ultimately, it appears the rate cuts implemented last year were a mistake." (Jin10)