Forecasting Economic Indicators: Unemployment and Spending Analysis

As a portfolio manager, you are tasked with providing forecasts on economic indicators to aid in asset allocation decisions. In your analysis, consider the current economic environment characterized by rising inflation and volatile interest rates.

Using at least two forecasting tools or methods, discuss how you would approach predicting the movements in unemployment rates and consumer spending for the upcoming fiscal quarter. Explain the rationale behind your chosen methods, including their strengths and weaknesses in this context.