A Stronger Jobs Outlook at Builders and Factories Alleviates U.S. Recession Fears
February 9, 2016 — 1:38 PM EST
Hiring managers have their fingers directly on the pulse of the U.S. economy, and they're feeling a steady heartbeat of demand.
While financial markets may be signaling that the world's largest economy is inching toward recession, recent labor-market data shows persistent hiring, near-record job openings, and growing confidence among workers that they can quit their jobs with the prospect of easily finding another one.
Of particular significance is the fact that job gains over the last three months are occurring in the most cyclically sensitive industries: construction and more surprisingly, manufacturing.
"Job changes in these two sectors are often a harbinger of changes in the business cycle," Joe Carson, director of global economic research at AllianceBernstein LP, wrote this week in an e-mail to clients. This shows "the business cycle is alive and well—despite the volatility in the financial markets."
Over the last three months, payrolls at construction firms and factories have increased by 176,000. That's the second-biggest gain over a similar period since March 2006.
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http://www.bloomberg.com/news/articles/2016-02-09/a-stronger-jobs-outlook-at-builders-and-factories-alleviates-u-s-recession-fears
