Tag Archives: USA
US: surge in payrolls – but still food for thought for both sides of the FOMC
In one line: Solid, but still food for thought for both sides of the FOMC. Hawks will fret over the payroll strength and the plunge in labour force participation while doves will point to the weak wage inflation.
US Data React
Largely positive April job figures solidified expectations that the Federal Reserve will carry large-scale asset purchases to conclusion this fall and that the first short-term interest rate hikes will follow sometime in the first half of next year.
Solid Rise in Employment Signals Better Growth Ahead
Employment rose 288,000 in April with gains broad-based across the private sector. The unemployment rateplummeted to 6.3 percent, but came amid another drop in the labor force. Hourly wages were flat.
US: economy stalled in Q1 but don’t extrapolate
The US economy unexpectedly stalled in Q1 as the bad weather exacted a toll on economic activity. The only positive thing to say is that the recent rebound in economic data suggests that we will see much stronger growth in remained of 2014.
Big Drop in New Home Sales in March
New home sales plunged an unexpected 14.5 percent in March to a 384,000 unit pace, the lowest level in eight months. With the exception of the Northeast, all regions saw double-digit declines.
No Surprises in February, But…
Personal income increased 0.3 percent in February, while personal consumption expenditures printed a similar rate. Personal spending was revised down to 0.2 percent from an increase of 0.4 percent in January.
US: jobs growth stronger than expected despite bad weather
Today’s stronger-than-expected payrolls data are a very positive sign because the details even suggest that the unusually cold weather was an important drag on February’s jobs growth.
Fed Beige Book Confirms Weather-Related Economic Weakness
The Federal Reserve’s latest survey of economic conditions around the nation, released Wednesday, found less robust economic growth in recent weeks, with much of the softness apparently due to weather conditions.
New Home Sales Defy Winter Weather
New home sales jumped to a 468,000-unit pace in January from an upwardly revised 427,000-unit pace in December. Inclement weather did not appear to slow down new home purchases.
Consumer Confidence Pulls Back in February
Driven by lower expectations of economic activity later this year, consumer confidence fell moderately in February to 78.1.
FI Eye-Opener: US data sending some conflicting signals
After some early gains, bonds ended the day with losses yesterday on both sides of the Atlantic. The German 10-year yield rose by 3bp, while the corresponding move up in the US was around a bp.
QE Taper Predictable But Unavoidable
A tapering of U.S. monetary policy is both predictable and unavoidable, Angel Gurría, secretary-general at the Organisation for Economic Co-operation and Development said on Friday.