Recent Economic Developments - A Surge in Job Growth
Employment growth surged in March as the economy continues its brisk expansion. Activity in
manufacturing and service industries remains strong, profits and cash flows continue to improve,
business confidence and spending have been on the rise, and job growth is accelerating. Households
continue to benefit from tax relief and low interest rates. Short-term interest rates were kept
at multi-decade lows by the Federal Reserve in light of very low inflation. Rapid increases this year
in energy and industrial commodity prices have not inflated prices of most producer or consumer
goods. Forecasters see rapid, sustained growth of GDP this year and continued job growth.