US Jobs Report - 379,000 Jobs Added in February - Hopeful Signs of a Recovery
According to the Labor Department, the US economy added 379,000 jobs in February, the highest number of jobs added since last October. With the recent drop in confirmed Covid cases and consumer spending on the rise, analysts are hopeful that the economy is strengthening. Unemployment also fell to 6.2% in February.
Economists are optimistic that hiring will continue to increase in the coming months as safety restrictions are lifted and Americans are able to travel, shop and consume more easily. Many households have accumulated savings over the last year as they were limited in how they could spend funds during the pandemic.
Some are concerned that the positive numbers may complicate passage of Biden's proposed $1.9 Trillion Covid-19 Relief Plan in Congress over the next few weeks.
Investors are also concerned that a strengthening economy may lead to accelerated inflation. Jerome Powell unsuccessfully attempted to assuage those concerns on Thursday by saying that the FED was in no hurry to raise its short-term benchmark rate, however, there were still sharp selloffs in the stock and bond markets.
Photo Credit: Cari Dobbins