April 2018 Economic Recap
The Bureau of Labor Statistics reported that the economy added 164K jobs in April, pushing the unemployment rate down to just 3.9%. This sets a new post-recession low and is the lowest headline unemployment rate since 2000. The “underemployment” rate, a broader measure of labor market slack, also hit a new post-crisis low point of 7.8%.
FOMC officials set the stage for a rate hike at their next meeting in June, stating that “labor market conditions remain strong… (and inflation) is expected to run near the Committee’s symmetric 2% objective over the medium term.” The emphasis on the symmetrical nature of the target suggests that the committee is now confident in their forecasts that inflation will hit their target, and that they will not necessarily quicken the pace of hikes if inflation moves above 2%.
For a deeper consideration of the economic data released during April, please follow the links below: