As the midyear point of 2025 quickly approaches, economic data for the first half has indicated an easing of inflationary pressure. Nevertheless, core prices remain above target levels, and tariff related disruptions may surface in the second half of the year. In May, job creation was robust; however, initial and continuing jobless claims trended slightly higher. Thus, the labor market continues to reflect an improved balance between supply and demand for workers. Given the current economic outlook, the Chandler team expects gradual normalization of monetary policy and a steepening yield curve.