Is the recent uptick in employment reason enough for the Fed to decrease monetary stimulus? Maybe. According to The Bureau of Labor Statistics (BLS), November’s employment figures reflect significant payroll expansion. The Federal Reserve indicated that “substantial and sustained improvement” in the job market would signal a need to reduce its QE3 bond purchases. Some question whether the Fed is moving too quickly, given that the employment decline reported in October reflected furloughed federal workers as unemployed during the government shutdown. Those workers were then included in November’s numbers as employed, calling in to reports for both months. At any rate, barring any economic calamity, the Fed’s money stimulus will soon start to wind down.
Read the full article here: The Employment Situation for November-The Fed’s Next Move Is Getting Closer