Toronto-Dominion Bank’s top U.S. executive said the American economic recovery has hit some speed bumps over the past month and a half, with COVID-19’s Delta variant spreading and businesses finding it difficult to hire qualified workers.

“We’ve seen sort of a pause and in some spaces or industries -- a little bit of a tapping on the brakes,” Greg Braca, Toronto-Dominion’s head of U.S. retail banking, said at a Barclays Plc conference Wednesday. “And we’re watching how this plays out.”

The U.S. economy gained 235,000 jobs last month, the smallest increase in seven months. Still, the large amount of cash that consumers have stockpiled along with a low level of loan defaults are keeping the bank “bullish” for the remainder of the year, Braca said at the virtual event.

“It would be hard to imagine that, as the reopening trade came back on, you wouldn’t have some temporary dislocation,” Braca said.