U.S. homebuilding jumped in February likely as unseasonably warm weather boosted the construction of single-family houses too near a 9-1/2-year high, suggesting the economy remained on solid ground despite an apparent slowdown in the first quarter.
The U.S. Federal Reserve raised interest rates on Wednesday for the second time in three months, a move spurred by steady economic growth, strong job gains and confidence that inflation is rising to the central bank's target.
Eight years ago last week, President Barack Obama gave investors a surprisingly hot trading tip. In office less than two months, he commented that we were at “the point where buying stocks is a potentially good deal if you’ve got a long-term perspective.”
The market expectations of a probable U.S. interest rate increase in March were fully cemented by February’s solid NFP headline figure of 235k which illustrated steady growth in the U.S. labor markets.
U.S. stocks rose on Friday amid broad-based gains as a stellar job report underscored the strength of the economy, potentially giving the Federal Reserve enough ammunition to raise interest rates next week.
It may not have been the knockout non farm payroll that the ADP release on Wednesday indicated it could be, but today’s US jobs report was more than adequate to justify a rate hike next week, assuming of course that the markets have correctly interpreted the Fed’s very deliberate hawkish delivery over the last few weeks.
According to the Bureau of Labor Statistics, the U.S. economy created 235,000 net new jobs, well above economists' expectations of 200,000 new jobs. Crucially, the details to the report were similarly strong.