Data was released that detailed how the economy of the United States created more jobs in the month of February than was previously estimated. As a result of the positive statistics, the stock market in the U.S. was prepared to open higher on Friday morning. The United States Department of Labor released data pertaining to nonfarm payrolls, which revealed 242,000 new jobs were introduced in the month of February. This number far surpassed economists original estimate that only 190,000 jobs would be added throughout the month.
The increasing fortitude of the U.S. dollar and declining international demand has led to U.S. exports slipping to levels that have not been seen in nearly 6 years. As a result of weakening exports, the national trade deficit also surpassed estimates in January, as the deficit reached $45.7 billion rather than the approximation of $44 billion. The bullish report from the Department of Labor adds to the recent trend of positive data related to the U.S. economy being released. The wealth of optimistic data indicates a gradual recovery of domestic economic growth, which only bolsters the Fed’s position to potentially increase interest rates throughout the year.
]Due to corporate financials becoming less prevalent, the market now has to monitor more macro-economic statistics as a means of predicting the Federal Reserve’s interest rate plan. The Fed’s council dedicated to making interest rate decisions is set to convene on March 15th-16th to design their plan for the near future. Many leading international economic nations also reaped the benefits of positive data being released about their respective country’s economies as global shares increased. The data aided in quelling the global market fear of the international economy as a whole was truly frail. In addition, the price of crude oil also rose. Finally, Wall Street ended Thursday higher due in part to the energy industry climbing into positive domain for the year.