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No Need to Worry About Job Growth. Yet.
July 10, 2017 | The Conference BoardEstimated reading time: Less than a minute
Employment increased by 222,000 jobs in June after increasing by 152,000 jobs in May.
The strong job growth in June and the upward revisions for May and April suggest that the concerns about a major slowdown in job growth were premature. If monthly employment growth remains at the 150,000-200,000 range, the labor market will continue to rapidly tighten, given the slow growth in labor supply. Wage growth may resume accelerating later in the year.
Solid employment growth and a tightening labor market are likely to support household spending moving forward. In such an environment, the Fed is unlikely to have second thoughts about normalizing interest rates. Two additional rate hikes in 2017 are not out of the question.
About The Conference Board
The Conference Board is a global, independent business membership and research association working in the public interest. Our mission is unique: To provide the world's leading organizations with the practical knowledge they need to improve their performance and better serve society. Winner of the Consensus Economics 2016 Forecast Accuracy Award (U.S.), The Conference Board is a non-advocacy, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States.
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