Tighter US monetary policy ahead: Goldman

Washington

PRESIDENT Donald Trump's tax cuts hand him ownership of wherever the US economy turns starting in 2018, and at Goldman Sachs the view is that tighter monetary policy is ahead.

Whatever slack is left in the labour market is seen being eliminated in 2019, pushing the jobless rate to 3.3 per cent, a level not seen in decades, according to a Goldman Sachs analysis, giving Trump's new Federal Reserve chair a reason to raise rates.