Hello Overit,
It is a good sign that the pain is decreasing. There is much less liklihood that the labral tear repair has been damaged, although specific testing movements by your Physio can shed more light on this aspect.
If the pain down your arm is on the outside of te uper arm and occurs as you move your arm sideways and upwards, (abduction) then it is possible that you have an inflamed bursa (fluid filled sac) undr the deltoid muscle / AC joint.
It can also indicate a tear in the supraspinatus muscle or tendon. General inflammation in the area can give a painful arc of movement. If this does not settle soon specific treatment will be required. Such treatment needs to be discussed with your physio / doctor so as not to interfere with the repair (non steroidal anti inflammatories tablets / topical gel or high dose fish oil, steroid injection). Sometimes deep massage over the point of the shoulder with AC joint mobilisation can assist.
Strength will be down due to pain. Once the pain and underlying swelling decreases your strength should continue to increase.
You may well have created a new injury to the shoulder that is now on its way to healing. Hopefully that is the case. As things are improving each week there does not seem to have been a recent plateau. Enjoy the graduated exercise program, going slowly and consolidate the healing process.
Cheers.
MrPhysio+