UUP - March's 'Blowout' Jobs Numbers Underscore 'American Exceptionalism': 5 Economists Analyze 2024 Rate Cut Implications | Benzinga
In March, the U.S. labor market surged beyond predictions, with 303,000 nonfarm payrolls added, surpassing expectations of 212,000. This marked the highest figure since May 2023 and accompanied a slight decrease in the unemployment rate from 3.9% to 3.8%.
We covered it first here: US Labor Market Heats Up In March: Payrolls Grow By 303,000, Highest In 10 Months, Dampen June Rate Cut Hopes
The robust report dashed hopes for Federal Reserve rate cuts, exacerbated by hawkish comments from Fed speakers, further dampening investor expectations.
The unexpected decrease in the unemployment rate from two-year highs and the anticipated rise in earnings signaled a tight labor market also reinforces the Federal Reserve’s stance against immediate interest rate cuts.
Economists Insights: March Jobs Report Dashed Hopes Of Rate Cut
The March jobs report has elicited diverse responses from economists and market analysts. Let’s delve into their viewpoints, capturing their original statements or key phrases to provide a comprehensive insight into the implications.
Joseph Brusuelas, Chief Economist at RSM US LLP, recognized as the best rate forecaster of 2023 by Bloomberg, shed light on the policy implications of the report. With wage growth slowing accompanying topline employment increases, Brusuelas sees the Fed relaxing a restrictive policy rate, given the PCE deflator continues to improve.
US Jobs Report Policy Implications: With wage growth slowing to 4.1% from ...