Treasury Secretary Janet Yellen says the Biden administration continues to be not ruling out the chance of a recession, even amid a robust labor market with traditionally low unemployment.

“It’s not completely off the table,” Ms. Yellen advised CBS’ “Face the Nation” in an interview that aired Sunday. “But we would expect, with the job market as strong as it is now, to see a slower pace of ongoing job gains.”

The June jobs report launched final week confirmed that the U.S. financial system remained resilient regardless of persistent however cooling inflation, with 4.4% wage progress, a .1% unemployment lower to three.6% and 209,000 jobs added.

Although the variety of new jobs was under estimates, the robust labor pressure buoyed expectations of one other rate of interest hike from the Federal Reserve to additional fight inflation.

Ms. Yellen stated Americans ought to quickly count on to see far fewer new jobs turning into obtainable.

“Prime age labor force participation is at the highest level in several decades, so we’ve seen this strong job market attract workers back to it,” she stated. “But as that stabilizes at a high level, we should expect the monthly job gains to be coming down toward a more normal level.”

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