The Federal Reserve's Barkin recently shared some interesting takes on the labor market dynamics. On one hand, he's welcoming the decline in unemployment rates—that's the positive signal everyone wants to see. But here's where it gets nuanced: the hiring pattern has become pretty narrow, which he openly calls uncomfortable.

What's more telling is what businesses aren't complaining about. Despite all the chatter about rate hikes, Barkin notes that the cost of interest rates isn't being flagged as a major headache for businesses. That's worth sitting with.

From a policy standpoint, there's a reasonable narrative forming—lower labor supply paired with slower job growth could actually represent a workable balance for the economy going forward. It's the kind of data point that shapes how central banks think about future rate decisions.