U.S. Fed faces data blind-spot as federal shutdown curtails key metrics

With the U.S. federal government shutdown ongoing, key economic data such as monthly employment and inflation reports are unavailable, complicating Federal Reserve policy decisions. The central bank must navigate rate-cut expectations while lacking full visibility into labour-market and price trends. Some officials may rely on alternative indicators like real-time job postings and consumer surveys, but these lack the scope of standard releases. The data gap raises risks that the Fed could mis-judge economic momentum and either cut too soon or too late.