Lowest Unemployment In 50 Years

‘The U.S. Jobs Machine Kept Humming Along In April’ ‘And The Unemployment Rate Fell To A Fresh Half-Century Low, Adding To Signs Of A Healthy U.S. Economy’

“American employers picked up the pace of hiring in April and the unemployment rate fell to a fresh half-century low, adding to signs of a healthy U.S. economy.” (“U.S. Hiring Jumped in April; Unemployment Falls to 3.6%,” The Wall Street Journal, 5/03/2019)

• “The U.S. jobs machine kept humming along in April, adding a robust 263,000 new hires …” (“Jobs Surge In April, Unemployment Rate Falls To The Lowest Since 1969,” CNBC, 5/03/2019)

• “Hiring was strong across most sectors with especially large gains in business services (76,000 jobs added), construction (33,000 jobs added) and health care (27,000 jobs added).” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

“The unemployment rate fell to 3.6% last month, the lowest level since December 1969.” (“U.S. Hiring Jumped in April; Unemployment Falls to 3.6%,” The Wall Street Journal, 5/03/2019)

• “The official unemployment rate has been at or below 4 percent for more than a year.” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

“The United States has more job openings than unemployed people, a situation some economists call ‘full employment’ since most job seekers are able to land a job. Hispanic unemployment dropped to 4.2 percent, a record low since the Labor Department started measuring it in the 1970s.” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

Economists: ‘There Is No Denying This Is A Strong Jobs Report’

“‘There is no denying this is a strong jobs report,’ said Joel Prakken, chief U.S. economist at Macroeconomic Advisers.” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

“‘The job market looks good on about any measure,’ said Matthew Luzzetti, chief U.S. economist at Deutsche Bank.” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

‘Real Gains In The Paychecks Of Average Workers’

“Indications of strength of the labor market could be found throughout the report. The average hourly wage was up 3.2% compared to a year ago, well above the 1.9% rise in prices, meaning real gains in the paychecks of average workers.” (“US Economy Has Added Jobs For 103 Straight Months. Unemployment Rate Falls To 3.6%,” CNN, 5/03/2019)

• “Low unemployment is forcing employers to raise pay and become more aggressive about hiring and training workers. Average hourly earnings rose 3.2 percent in the past year, well above inflation, and lower wage workers enjoyed some of the largest gains as companies scrambled to fill jobs …” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

• “In the years after the Great Recession there was deep concern that wages weren’t rising and Americans who had lost jobs had lost hope of getting one again. There’s been mostly good news on both fronts in recent months … [E]conomists see encouraging trends as people who weren’t even actively looking for jobs are suddenly getting hired.” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

‘Torrent Of Job Offers, Bigger Salaries Offer More Proof U.S. Labor Market Is Still Red-Hot’

“Americans still think plenty of jobs are available and companies are offering better pay as they compete for a shrinking pool of available labor, new study by the New York Federal Reserve shows. The Fed study is the latest proof the jobs market continues to sizzle.” (“Torrent Of Job Offers, Bigger Salaries Offer More Proof U.S. Labor Market Is Still Red-Hot,” MarketWatch, 4/16/2019)

• “Business leaders increasingly say their number one challenge is finding enough people to fill job openings. McClane Company is a large trucking and warehouse firm that specializes in moving food and grocery items around the country. They are advertising truck driving jobs for $70,000 a year and a $6,000 sign on bonus in Jessup, Pennsylvania …” (“U.S. Unemployment Fell To 3.6 Percent, Lowest Since 1969,” The Washington Post, 5/03/2019)

‘The U.S. Economy Started 2019 With A Pop, Growing Rapidly’ With 3.2% GDP Growth In The First Quarter

“The U.S. economy started 2019 with a pop, growing rapidly despite multiple headwinds … Gross domestic product—the value of all goods and services produced in the U.S., adjusted for inflation and seasonality—rose at a 3.2% annual rate from January through March,  the strongest rate of first-quarter growth in four years, the Commerce Department reported …” (“U.S. Economy Grew at 3.2% Rate in First Quarter,” The Wall Street Journal, 4/26/2019)

• “‘The economy is in a sweet spot for now with not enough inflation to cause the Fed to raise rates, and with inflation not low enough to worry Fed officials that economic demand is weakening, which could require rate cuts,’ said Chris Rupkey, chief economist at MUFG in New York.” (“U.S. Consumer Spending Roars Back, But Inflation Tame,” Reuters, 4/29/2019)

Other Key Economic Indicators Show Americans ‘Feeling Confident About Their Economic Prospects,’ ‘Laying Groundwork For Stronger Wage Growth And Continued Economic Expansion’

“U.S. consumers picked up their spending in February and March, a sign that households were feeling confident about their economic prospects.” (“U.S. Consumer Spending Rises in February, March,” The Wall Street Journal, 4/29/2019)

• “U.S. consumer spending increased by the most in more than 9-1/2 years in March as households stepped up purchases of motor vehicles, but price pressures remained muted, with a key inflation measure posting its smallest annual gain in 14 months.” (“U.S. Consumer Spending Roars Back, But Inflation Tame,” Reuters, 4/29/2019)

• “The big jump in consumer spending is encouraging because it suggests that the overall economy had solid momentum going into the April-June quarter.” (“U.S. Consumer Spending Spikes 0.9 Percent In March,” The Associated Press, 4/29/2019)

“U.S. workers’ efficiency improved during the past year at the best pace in nearly a decade, laying groundwork for stronger wage growth and continued economic expansion. The productivity of nonfarm workers, measured as the output of goods and services for each hour on the job, increased at a 3.6% seasonally adjusted annual rate in the first quarter from the prior three months, the Labor Department said Thursday. From a year earlier, productivity rose 2.4%. That was the best gain year-over-year since the third quarter of 2010, when the economy was just emerging from a deep recession.” (“U.S. Worker Productivity Advances at Best Rate Since 2010,” The Wall Street Journal, 5/02/2019)

• “Productivity tends to be strong in the early days of an economic cycle. Accelerating improvement nearly 10 years after the recession ended raises hopes that a combination of more efficient workers and Americans rejoining the labor force could provide necessary fuel to extend one of the longest expansions in the post-World War II era.” (“U.S. Worker Productivity Advances at Best Rate Since 2010,” The Wall Street Journal, 5/02/2019)

• “Productivity growth in the longer run is also associated with wage gains. If workers are more efficient, employers can raise pay without cutting into profit margins.” (“U.S. Worker Productivity Advances at Best Rate Since 2010,” The Wall Street Journal, 5/02/2019)

“The recent gains could be a sign that an uptick in investment following tax-law changes passed in 2017 means businesses are spending on the technology and tools necessary to increase output…. ‘The machines people bought last year, they are turning them on this year,’ Kevin Hassett, chairman of the White House Council of Economic Advisers, said last week.” (“U.S. Worker Productivity Advances at Best Rate Since 2010,” The Wall Street Journal, 5/02/2019)

‘[T]he U.S. Economy Is Remarkably Resilient When Government Doesn’t Get In The Way’

THE WALL STREET JOURNAL EDITORS: “[T]he U.S. economy is remarkably resilient when government doesn’t get in the way.” (Editorial, “The Tide Keeps Rising,” The Wall Street Journal, 4/26/2019)

• “The Trump Administration lifted the threat of new regulation and harassment of business in 2017, which liberated long-stifled animal spirits. Then came the Trump tax reform with its sharp reduction in business tax rates and immediate 100% expensing of new investment. This was targeted precisely to stimulate the weak capital investment that had stymied growth in the Obama years.” (Editorial, “The Tide Keeps Rising,” The Wall Street Journal, 4/26/2019)

• “This has also kept the U.S. expansion going even as growth in the rest of the world has slowed markedly. U.S. growth over the last four quarters year over year is now above 3%.” (Editorial, “The Tide Keeps Rising,” The Wall Street Journal, 4/26/2019)

• “The first quarter was also notable for the slowdown in inflation, with the price index for gross domestic purchases rising 0.8%. That’s the slowest pace since the first quarter of 2016.” (Editorial, “The Tide Keeps Rising,” The Wall Street Journal, 4/26/2019)