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 trends are observed in the participation rate of the job market?

What implications do tax cuts have on consumer spending as discussed in the text?