Will There Be A Recession? Jobs Report Confirms That It’s Not an Economic Decline, But Rather a Slowdown

America created 196,000 jobs in March and it’s neither a good nor bad news.

According to the Labor Department, the unemployment rate was 3.8% and that the average hourly pay increased by 3.2% in the last 12 months – these reports convey an economy that is, unsurprisingly, near at full employment.

The economy will slow down this year

Most experts have concluded that the economy will slow down this year but will most likely not fall under 2% range – where it has been lingering along for years. This may trouble apologists of our current president, who vowed to increase economic growth by 3-6%.

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In observance with the data released by MarketWatch, economic growth has been competent. In addition, it showed that core inflation is slowing down, reaching 1.8% for the last 12 months, which is even below the 2% target – and that is advantageous for both stocks and the economy the stock market eventually projects.

Core inflation is slowing down

Incomes, specifically, has been on a predictable, consistent pattern for a long time – growing, stagnating, and forcefully declining after the 2008 global financial crisis, when the median household lost nearly 10% of its buying power – a circumstance that is even more devastating than the sharp inflation of the 1970s.

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As stated by the Maryland research firm Sentier Research, the median family income hit $63,378 a year in February.

The economy is not moving too drastically

As a conclusion, it’s easy to believe that we’re pretty close to where we want to be. The economy is generating employment, increasing incomes, and it’s doing so tolerably as it’s not moving too drastically.

The present days are a good time

In conformity to an article published in MarketWatch, the present days are a good time. It is convincing that there is barely a threat when there is too much work to do for middle-income families, whose purchase power are, after all the foundation of a stock market established on profits. As long as it lasts, it’s going to be favorable for anyone.

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