$LABOR - The labor market is viewed as stable with a decent equilibrium, characterized by a steady unemployment rate and respectable payroll growth. However, there are some vulnerabilities due to the low hiring rate.
$TREASURIES - Treasuries are seen as a potential hedge against growth shocks, particularly when core PCE is below 3%, offering a buffer for risk assets in portfolios.
$INFLATION - There's uncertainty about the impact of tariffs on inflation, with a changed psychology of price-setting post-COVID potentially leading to inflationary pressures.
Bearish:
$HIRINGRATE - The low hiring rate is seen as a vulnerability in the labor market, potentially leading to more significant increases in unemployment if there are negative payroll impacts.
$CANADA - The Canadian economy may be vulnerable to US tariffs due to its high reliance on trade, with trade accounting for 25% of Canada's national income.