Pickup in Employment Expected

March 29, 2021

Pickup in Employment Expected Photo

This upcoming week will bring a lot of key economic data releases on the state of the U.S. economy. The indications are that economic activity has accelerated in March, likely leading to a pickup in employment during the month. This Friday’s employment report is set to show the most jobs added in several months, with a consensus expectation of around 650,000 new jobs. This prediction compares to the 379,000 jobs that were added according to last month’s report. Additionally, the unemployment rate is expected to decline from 6.2% to 6.0%. 

I expect the economic reports to be very strong during the second quarter, as demand is pushed higher by the impact of the economic reopening resulting from vaccines and fiscal stimulus. Stocks should benefit from this environment as earnings will likely be strong, with revisions upward for the remainder of the year.

Tags: Economic data | Employment Report | economic recovery | Vaccine | Stimulus | Unemployment rate

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