Friday’s employment report showed 115,000 jobs added, nudging three‑month averages into positive territory after a year of alternating gains and losses. The boost came even as government and health‑care hires were stripped out, suggesting broader private‑sector momentum. Investors will watch tomorrow’s CPI and Thursday’s retail‑sales data for clues on whether consumer spending can sustain the uptick.

Real‑time consumption remains modestly expanding, while business investment and corporate profits stay robust. Wage growth continues to ease, keeping inflation pressures in check, yet any reversal could trap the incoming Fed chair Kevin Warsh in a policy bind. Senate confirmation looms, and a potential clash with President Trump could test the central bank’s autonomy.

Former New York Fed chief Bill Dudley, writing for the Group of 30, urged a clearer framework for quantitative easing and balance‑sheet management, warning against using asset purchases to lower government borrowing costs. His recommendations arrive as the ECB flags fiscal and financial dominance risks, underscoring that monetary policy must adapt before political forces erode credibility.