U.S. employment data — including recent revisions — point to a soft landing for the U.S. economy, according to PN Economics Editor Bill Wood.
“You've got volatility month to month, but over the long term, the story is good and looks like that soft landing narrative that we've all been hoping for — that Goldilocks scenario — continues to play out,” Wood said in the September Numbers That Matter editorial livestream. Recording below.
“I would say it's not over. … we haven't landed yet. Interest rates are still today not what they were two years ago. There's still time for this to have a bumpy or significant downturn depending on unforeseen future events, or perhaps a foreseen future event like the election or a geopolitical problem in some of the areas of the world, something like that. This can still go down,” he said.
Wood noted that there are regional and market-specific variations, including in the employment numbers. The automotive market is stable but not growing, and the construction sector is still underperforming, which impacts other plastics end markets including housewares and appliances.
Wood is optimistic about next year, citing positive stock market and credit spread indicators. On the political front, he cautioned against tariffs, noting their potential negative impacts on innovation and supply chains.
The next Numbers that Matter Live is scheduled for Sept. 24.
