Bloomberg shows that the positive employment numbers pave the way for increased interest rates, in addition to opportunities for innovation.
U.S. employers added jobs at an above-average pace for a second month on outsized gains in construction and manufacturing while wage growth picked up, as the labor market continued its steady improvement in the new year.
The 235,000 increase followed a 238,000 rise in January that was more than previously estimated, the best back-to-back rise since July, a Labor Department report showed Friday in Washington. The unemployment rate fell to 4.7 percent, and wages grew 2.8 percent from February 2016.
While unseasonably warm weather may have boosted the payrolls count, the data represent President Donald Trump’s first full month in office and coincide with a surge in economic optimism following his election victory. The figures also validate recent comments by Federal Reserve officials that flagged a likely interest-rate increase this month.
“We’re getting closer and closer to full employment,” said Ryan Sweet, an economist at Moody’s Analytics Inc. in West Chester, Pennsylvania. “Wages had been the one sore spot in the labor market data, and I think that’s coming through here. With inflation accelerating I think we’re going to start to see even stronger wage growth down the road.”