Why the August jobs data may not move the needle for the Fed

The August jobs report fell far below economist expectations, with only 142,000 jobs added during the month. NatWest Head of US Michelle Girard joins Morning Brief to discuss how this report could impact the Federal Reserve's decision on interest rate cuts at their upcoming September FOMC meeting.
Girard believes that the jobs print "won't push anybody off their prior position." She notes this report supports those looking for a 25 basis-point cut because it signals continued resilience, while also supporting the 50 basis-point cut due to "downward revisions." She questions, "Did it really come down to this one report, to be honest, for the Fed?"
Girard emphasizes the Fed's intense focus on inflation, with the main concern being that they hit the 2% inflation target. However, she notes there has been "enough evidence" to show that inflation is trending downward, so the focus now shifts to the economy.
"It's pretty clear in terms of the economy that things are slowing. And so I think for the Fed the real discussion is where do you think rates should ultimately be? Or where do you think you're going to have to get to? Because I think that plays a big role in the size of the move that you're going to make," Girard told Yahoo Finance.
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