Speaking ahead of the 2026 Allied Social Science Societies Annual Meeting on Saturday, Philadelphia Fed President Anna Paulson noted that “the labor market has been bending, not breaking.”
Additional quotes
The labor market tends to be a clearer signal than GDP data.
The potential liquidation of assets could lead to strong growth and weak job creation.
The tariff rate adjustments are likely to be completed within the next six months.
The fundamental outlook for the economy is very benign.
I expect to see moderate inflation and the labor market to stabilize with GDP at around 2%.
He believes that labor market risks are high
Federal Reserve policy works to reduce inflation.
The state of the labor market has supported the Fed’s easing campaign.
Tariffs are a key factor in keeping inflation above target.
Inflation is likely to return to normal over the next year.
Market reaction
The US Dollar Index (DXY) is holding modest gains near 98.50, at the time of writing.
US dollar price today
The table below shows the percentage change in the US Dollar (USD) against the major currencies listed today. The US dollar was the strongest against the Australian dollar.
| US dollars | euro | GBP | JPY | Canadian | Australian dollar | New Zealand dollar | Swiss franc | |
|---|---|---|---|---|---|---|---|---|
| US dollars | -0.03% | 0.02% | -0.09% | 0.03% | 0.16% | 0.10% | 0.02% | |
| euro | 0.03% | 0.06% | -0.02% | 0.07% | 0.19% | 0.14% | 0.04% | |
| GBP | -0.02% | -0.06% | 0.00% | 0.00% | 0.14% | 0.07% | -0.02% | |
| JPY | 0.09% | 0.02% | 0.00% | 0.10% | 0.23% | 0.17% | 0.07% | |
| Canadian | -0.03% | -0.07% | -0.01% | -0.10% | 0.12% | 0.06% | -0.03% | |
| Australian dollar | -0.16% | -0.19% | -0.14% | -0.23% | -0.12% | -0.06% | -0.17% | |
| New Zealand dollar | -0.10% | -0.14% | -0.07% | -0.17% | -0.06% | 0.06% | -0.09% | |
| Swiss franc | -0.02% | -0.04% | 0.02% | -0.07% | 0.03% | 0.17% | 0.09% |
The heat map shows the percentage changes in major currencies versus each other. The base currency is chosen from the left column, while the counter currency is chosen from the top row. For example, if you select USD from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).
