Schwab's Jones Expects to See Incremental Wage Gains

The video discusses the current state of the job market, highlighting a tepid December and solid November, with low unemployment rates and limited growth in job participation. Wage gains are expected to be incremental, influenced by retiring baby boomers and younger workers entering at lower wages. The Atlanta Fed's wage tracker shows a steady increase in wages. Inflation expectations are rising due to higher commodity prices and tax cuts, which may lead to higher bond yields.

What is the main reason for the current sideways movement in job growth?

• High participation rate

• Low unemployment rate

• Low participation rate

• High unemployment rate

How are wage gains expected to progress according to the discussion?

• Sudden increase to 4% year over year

• Incremental gains

• Decrease in wage gains

• No change in wage gains

What demographic change is affecting the aggregate wage levels?

• Increase in part-time workers

• Baby boomers retiring at higher wages

• More people working from home

• Increase in minimum wage

What factors are contributing to the rise in inflation expectations?

• Reduction in consumer spending

• Tax cuts and higher commodity prices

• Increase in unemployment

• Decrease in commodity prices

What is the expected trend for bond yields according to the discussion?

• They will decrease

• They will remain stable

• They will grind higher

• They will fluctuate unpredictably