Gary Siegel

Change is always difficult, and the Federal Reserve’s attempt to find a better monetary policy framework is no exception.

The April employment report topped estimates for jobs created, while the jobless rate fell to a 49-year low; wage increases missed projections.

Federal Chair Jerome Powell doused market hopes for a rate cut, but it was not the result of a shift in Fed policy.

The Fed Chair said the FOMC is “comfortable with our current policy stance,” which he termed “appropriate.”

The last day of the month brings a host of economic indicators, which showed much good news for housing and labor, strong consumer confidence, but mostly softer manufacturing conditions.

Inflation took a step back, according to the Federal Reserve’s favorite indicator, while income edged up in March, ahead of this week’s Federal Open Market Committee meeting, suggesting the Fed will be able to remain patient on rates.

Andrew Dassori, CIO of Wavelength Capital Management, discusses why it’s getting harder to predict the economy; yield curve inversion; mixed economic signals and headwinds; and how new ideas from the upcoming conference on monetary policy could help transform the Fed. Gary Siegel hosts.

Manufacturing growth in the central Atlantic region was weaker than in March, while “service sector activity was robust in April.”

The region's services sector “continued to expand” at nearly the same pace as the previous month.

The Chicago Fed National Activity Index for March narrowed to negative 0.15 from a downwardly revised negative 0.31 in February.

The composite of the Leading Economic Index was up 0.4% in March following a revised 0.1% rise in February, the Conference Board said Thursday.

Manufacturers report activity has “continued to grow” in April.

The National Association of Home Builders' housing market index rose to 63 in April from 62 in March.

New York service sector activity “continued to grow modestly” in April.

Members of the Federal Open Market Committee appear to have raised their inflation target from about 1.5% in 2000 to 2% after the Great Recession.

Since future rate decisions will be based on data, the next move by the Federal Reserve will be up if inflation gains momentum, and down if activity softens too much or inflation cools further.

Business activity “grew modestly in New York State,” while the outlook fell to its lowest level in three years.

Small business owners are optimistic about economic growth and don’t expect a recession anytime soon.

Consumers’ inflation expectations ticked up for the three-year horizon, according to the March Survey of Consumer Expectations.

The Conference Board's Employment Trends Index (ETI) slipped to 110.98 in March.