Powell Admits the Labor Beast Is Wounded — But Wall Street and Washington Pretend It Isn’t

The Labor Market Facade Cracks Fed Chair Jerome Powell, in a rare moment of candor, admitted that beneath the veneer of “low unemployment,” the U.S. labor market is showing deep, structural rot. Speaking at the National Association of Business Economists (NABE) after snagging the Adam Smith Award, Powell acknowledged what dissidents have warned: the official stories have been masking erosion. Data Delays, But the Story Still Leaks Out Because of a government shutdown, the vital reports for September jobs and inflation are stalled — giving the Fed and its cheerleaders more time to spin. But Powell couldn’t hide it: “available data” show that payroll additions have dwindled sharply, and immigration and participation rates are dragging the supply side downward. Declining…