The US government shutdown is jeopardising the release of critical economic data, including the October Consumer Price Index (CPI) and jobs reports. White House Press Secretary Karoline Leavitt indicated that the ongoing shutdown, triggered by a congressional budget impasse, may result in the permanent loss of these statistics. The Bureau of Labor Statistics (BLS) and other statistical agencies have suspended data production and publication during the funding hiatus. The failure to release the reports raises concerns about transparency in the economy. The reports provide a key look into the health of the economy and inflation for markets and consumers.
Economists warn that while some data can be recovered retroactively, key indicators like the CPI and unemployment rate are particularly vulnerable. These figures rely on timely data collection, making it difficult to reconstruct them accurately after a prolonged delay. The BLS has yet to provide an updated release schedule for its economic indicators, leaving analysts uncertain about the future availability of the data.
One potential solution being considered is the combination of two months’ worth of data into a single release to expedite the reporting process once the government resumes full operation. However, this approach may sacrifice the granularity and timeliness of the individual monthly figures. The BLS has not yet responded to requests for comment regarding its plans for data dissemination.
Efforts to resolve the shutdown are underway, with the House potentially voting on Senate-approved legislation to reopen the government. The resolution, expected as early as late Wednesday (Thursday AEDT), could provide a pathway for the resumption of statistical reporting and restore confidence in the integrity of the federal statistical system.
