Unemployment rate drops to 6.0% in February from 6.2% in February.
WASHINGTON, 2 April 2019- The U.S. economy created the most jobs in March as more Americans got vaccinated and the government doled out additional pandemic relief money marking the start of what could be the strongest economic performance in decades this year.
The closely monitored Labor Department Employment Report on Friday suggested that the market has finally turned around after hit a ditch in December. All industries added jobs last month and more people joined the labor force. A measure of the economy's ability to create employment also improved.
But the road to full recovery remains long: More than four million Americans have been unemployed for more than six months. The economy is returning to life, said Brian Bethune Professor of Practice at Boston College.
Nonfarm payrolls surged last month by 916,000 jobs, the biggest gain since August last.
New data for February was updated higher to show 468,000 jobs created instead of the previously reported 379,000. Nevertheless, employment remains at 8.4 million jobs below its peak in February 2020. Economists polled by Reuters had forecasted the payrolls increasing by 647,000 in March.
The employment report marked a painful anniversary for the labor market.
The March 2020 employment report was the first to reflect the non-essential closings of mandatory businesses such as restaurants, bars and gyms in order to slow the onset of the COVID-19 pandemic. Almost 1.7 million jobs were lost that month, and another 20.7 million would vanish in April.
Economists estimate it could take at least two years to recoup the more than 22 million jobs lost during the pandemic. Last month, the gains of the leisure and hospitality sector were led by the employment of 280,000 workers.
Restaurants and bars accounted for nearly two-thirds of the industry's employment gains. Construction employment rebounded after being depressed by harsh weather in February. Manufacturers hired 53,000 employees; Public and private education payrolls also increased as more schools resumed in-person learning and other school-related activities.
The dollar was against a basket of currencies, while the U.S. Treasury prices were lower. The stock market is closed for Good Friday.
According to the U.S. Centers for Disease Control and Prevention on Tuesday morning, the United States distributed 147.6 million doses of COVID-19 vaccines in the country and distributed 189.5 million doses. The massive$ 1.9 trillion Pandemic Relief Package approved by the White House in March sends additional$ 1,400 checks to a qualified household and fresh funding for businesses. Economists expect job growth in the third quarter of 2013 to average at least 700,000 per month.
This, combined with the fiscal stimulus and about$ 1.9 trillion in excess savings accumulated by households during the pandemic, is expected to unleash a powerful wave of pent-up demand.
Estimates for the first quarter of gross domestic product are as high as a 10.0% annualized rate.
The economy grew in the fourth quarter at a 4.3% rate; growth this year could top 7%, which would be the fastest since 1984. In 2020 the economy contracted 3.5%, the worst performance in 74 years.
The unemployment rate was down from 6.0% in February to 6.0% last month. The unemployment rate has been understated by people who claimed to be absent from work but are not employed. Ohne the misclassification, the unemployment rate would have been 6.4% in March. But the labor market is progressing; 347,000 people entered the labor force in March.
The Labor Force participation rate, or the proportion of Americans looking for a job or are working on one, rose from 61.5% in February to 61.4% in August. The employment-to-population ratio, viewed as a measure of the economy's ability to create employment, increased in the month of October from 57.8% in the previous month. However, the long-term unemployment is becoming extremely unfriendly: About 4.218 million people have been unemployed for more than 27 weeks, accounting for 43.4% of the 9.7 million people classified as unemployed last month.
It was up from 41.5% in February; the labor market is now turning around, but we still have a long way to go before substantial progress is made and the labor market fully recovers, said Charlie Ripley, senior investment strategist at Allianz Investment Management. For more information about what is the best way to stay on track, visit.