Recent Economic Developments
Moderating Toward Sustainable Growth
Senator Robert Bennett, Vice Chairman of the Joint Economic Committee, released the attached Recent Economic Developments today. The report, entitled “Moderating Toward Sustainable Growth,” includes the following highlights:
Highlights
· Payroll employment gains moderated to an unexpectedly low 75,000 net new jobs in May.
· The unemployment rate edged down to 4.6% in May, well below the recent peak of 6.3% in June 2003.
· Real GDP growth was revised up to an annualized 5.3% rate in the 1st quarter, from an earlier estimate of 4.7%.
· Housing markets continue to show signs of moderation, but levels of activity remain high by historical standards.
· Federal Reserve officials have emphasized that inflation is moving toward the upper end of the Fed’s comfort zone.
Highlights
· Payroll employment gains moderated to an unexpectedly low 75,000 net new jobs in May.
· The unemployment rate edged down to 4.6% in May, well below the recent peak of 6.3% in June 2003.
· Real GDP growth was revised up to an annualized 5.3% rate in the 1st quarter, from an earlier estimate of 4.7%.
· Housing markets continue to show signs of moderation, but levels of activity remain high by historical standards.
· Federal Reserve officials have emphasized that inflation is moving toward the upper end of the Fed’s comfort zone.
