McGladrey chief economist Joe Brusuelas expects that the Friday release of unemployment figures will reveal a drop in headline unemployment to 5.4 percent, and that the U.S. economy added 265,000 jobs in March.
“The jobs market turned decisively for the better in 2014 and a deeper look into the data shows that not only has the number of new positions accelerated, but the quality of jobs has noticeably improved,” Brusuelas wrote. “This will set the stage for a mid-year rebound in economic activity and spending.”
He noted that in the year to February, the private sector had produced more high-paying jobs (1.9 million positions with an average wage of $64,000) than low-paying ones (1.6 million with an average wage of $23,000), which should set the stage for a mid-year rebound in economic activity and spending. Pent-up demand should lead to more hiring and stronger wages in the coming months, he predicted, estimating that the April and June non-farm payroll reports should show more than 300,000 jobs added.
For more, see Brusuelas’ blog,
