Jobs report to show whether hiring is slowing as Fed wants

By CHRISTOPHER RUGABER
AP Economics Writer

WASHINGTON (AP) — When the government issues the November jobs report on Friday, it could provide clarity on whether hiring and pay growth are gradually cooling — a trend that the Federal Reserve sees as vital in its fight against high inflation. Fed Chair Jerome Powell has pointed to a robust job market as a key driver of inflation, particularly in services industries, ranging from restaurants and health services to entertainment and pet care. The cost of such goods as used cars, furniture and appliances, Powell noted, are easing, and housing costs will likely slow next year. That leaves price acceleration in much of the economy’s vast service sector as the most likely source of persistent inflation pressures.