June Marks Widespread Gains in Employment and a Booming Economy
July 7, 2008 - 8:21 PM
(CNSNews.com) - A surge in U.S. employment again in June, with 1.4 million additional jobs and a booming economic record await the November election, analysts said on Wednesday.
Economists believe 250,000 jobs were created this month, surpassing May's jump of 248,000.
"I think the gains will be quite widespread again, and as we saw in April and May, we are likely to create slightly more higher-paying than lower-paying positions," Reuters quoted Lynn Reaser, chief economist at Banc of America Securities, as saying.
According to economists, the creation of nearly a million jobs in the last three months ended the years of concern caused by the 2001 recession.
And even with the loss of 1.2 million jobs, the job deficit can diminish if hiring continues at its recent pace. The stigma attached to Bush's job record as the president with the worst job record since Herbert Hoover will fade as well, analysts say.
"The economy has turned very sharply in Bush's direction, so his biggest weakness is becoming strength," Reuters quoted Cary Leahey, senior U.S. economist at Deutsche Bank Securities, as saying.
Economists do believe however, the unemployment rate will remain at 5.6 percent due to new hopeful job-seekers returning to the job market.
The improving job market and higher wages also signal a shift in the position of the Federal Reserve, which is expected to raise interest rates several times this year.
E-mail a news tip to Shannon Augustus.
Send a Letter to the Editor about this article.