Bloomberg Economics said the U.S. government shutdown is eroding investor confidence and ‘making America look more like an emerging market.’ The analysis cites stalled fiscal operations, missed data releases, and uncertainty around the October 24 CPI report as signs of institutional fragility. Despite the turmoil, Bloomberg noted that credit spreads remain contained, suggesting investors still see Treasuries as safe assets. The commentary highlights growing reputational costs for U.S. fiscal governance. (Bloomberg)

Federal Reserve Governor Christopher Waller said the labor market is showing ‘clear signs of weakening,’ with the latest internal data suggesting payroll growth may have turned negative in recent months. He cautioned that a contracting job market poses the biggest risk to the soft-landing outlook and may justify a slower pace of balance-sheet tightening. Waller added that sustained disinflation allows more flexibility but urged data confirmation before major policy shifts. (Bloomberg Law)