Economist: Non-Farm Payrolls Increase of 165K-175K Is "Goldilocks Balance" for US Economy

The U.S. December employment report, expected to be released today, could provide a clearer picture of the labor market’s current state. Analysts surveyed by FactSet predict a 153,000 increase in non-farm payrolls for December, down from 227,000 in November but significantly higher than the 36,000 in October."Goldilocks Balance" for the FedBoston College economist Brian Bethune is more optimistic, projecting a 165,000 to 175,000 increase in non-farm payrolls. He described this range as a "Goldilocks balance" for the Federal Reserve, explaining:Not Too Hot: Numbers within this range would not trigger inflationary concerns.Not Too Cold: They would avoid signaling an economic downturn.Bethune added: “Fed Chairman Powell will regard this number as a relief, as it reflects steady job growth without overheating the economy.”Implications for the Federal ReserveIf the actual employment figures align with Bethune’s forecast, it could provide the Federal Reserve with a stable foundation for its next policy decisions, easing inflation worries while signaling economic resilience.