U.S. Treasury Secretary Janet Yellen stated on Monday that she does not see any indicators of an financial downturn in the United States. She emphasized that the labor marketplace remains robust and inflation is decreasing. Nonetheless, she warned that if Congress fails to pass legislation to hold the government operating, it could potentially slow the momentum in the economy. Yellen stressed the significance of avoiding a government shutdown and the connected dangers for the duration of this period.

Yellen also commented on the current strike by the United Auto Workers against the Detroit 3 U.S. automakers. She stated that it is as well early to decide the influence of the strike, as it depends on its duration and who is impacted. She highlighted President Joe Biden’s commitment to collective bargaining and making certain that workers in the business are also benefiting from its accomplishment.

Concerning the labor marketplace, Yellen described that despite the fact that it remains robust, it is cooling down and not as robust as just before. This is in line with the objective of lowering inflation to two%. Yellen acknowledged that the Federal Reserve’s selection to raise interest prices has began to influence the housing marketplace, but customer spending remains robust.

Yellen also addressed the situation of increasing gasoline costs and reassured that the Biden administration is closely monitoring the predicament. She stated that Biden is committed to making certain that gasoline costs stay inexpensive for Americans.

In summary, Yellen sees no indicators of an financial downturn but warns about the possible slowdown if Congress does not pass legislation to hold the government operating. She emphasized the significance of avoiding a government shutdown. Yellen also discussed the influence of the UAW strike, the cooling labor marketplace, the influence of interest price hikes on the housing marketplace, and the concentrate on inexpensive gasoline costs.