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A woman walks past a fenced-up store in downtown Gary, Indiana, October 23, 2013. Struggling U.S. Rust Belt cities for years have tried to counter the loss of manufacturing jobs with big, expensive projects including casinos and stadiums.
A woman walks past a fenced-up store in downtown Gary, Indiana, October 23, 2013. Struggling U.S. Rust Belt cities for years have tried to counter the loss of manufacturing jobs with big, expensive projects including casinos and stadiums.
(Jim Young/Reuters)

Fed heats up assets but can’t stoke labour market

Anyone expecting cautious Fed chair-in-waiting Janet Yellen to reveal anything unexpected about monetary policy at her Senate confirmation hearing Thursday is liable to come away disappointed. But analysts will be paying close attention to whatever she has to say about U.S. labour conditions. While she shares the same hawkish views on inflation as most central bankers, it’s the second, more troublesome part of the Fed’s dubious dual mandate – promoting maximum employment – that will drive her early decisions.