By Nick Baum
FRIDAY – 2/1/19
Despite the government shutdown, experts are predicting another strong month and a strong start of the year for the US economy. The jobs report, which will officially be released later today, will count the almost 400,000 furloughed government workers as “unemployed”. Economists are predicting that due to that high number, the unemployment rate will temporarily grow before dipping to previous 49-year lows.
Refinitiv, a polling company of economists, estimated that 165,000 jobs have been added this month, and that the unemployment rate, while moving up, will stay at 3.9%. Economists also forecast that wages will grow 3.2% this month, extending to a three-month streak of wage growth above 3%.
Experts, however, predict that the recent boom won’t hold for more longer. The Federal Reserve held off on rising interest rates, helping the stock market and Dow Jones regain its footing at almost exactly 25,000, but at the same time means that economic growth will slow down due to the currency’s value not being raised.
Sources and Pictures: Flickr, CNN Business, Google Trends