New Delhi, Jan. 30 -- Everyone is gloomy about America's jobs market. Investors talk of a "K-shaped" economy, in which growth is buoyed by an exuberant stockmarket and artificial-intelligence investment, while ordinary Americans languish. Job creation and overall economic growth, which usually move in tandem, have diverged. The Federal Reserve has cut interest rates at its two most recent meetings. Jerome Powell, the central bank's chair, calls the loosening "risk management", or insurance against a deeper downturn. Christopher Waller, a contender to replace Mr Powell, is pushing for further and faster cuts, beginning at the next meeting on December 10th, to support a weakening labour market.

Look closer, however, and much of the gloom s...