Fed Governor Stephen Miran: The labor market was on a gradual cooling trend for three years

• Fed Governor Stephen Miran believes the Federal Reserve should 'look through' oil price shocks as monetary policy has a delayed impact on inflation.
• He notes that longer-term inflation expectations and wage growth trends do not indicate a sustained inflationary spiral, with some expectations actually coming down.
• Miran expresses greater concern about potential weaker growth and higher unemployment, advocating for 100 basis points of rate cuts over the next year, having voted for 25 basis point cuts at the last two meetings.

Fed Governor Stephen Miran argues that the Federal Reserve should 'look through' current oil price shocks, as monetary policy has a delayed impact on inflation and he sees no evidence of a wage-price spiral or rising longer-term inflation expectations. He is more concerned about weaker growth and higher unemployment, advocating for 100 basis points of rate cuts over the next year.