BLS DAILY REPORT, WEDNESDAY, MAY 5, 1999
The composite index of leading economic indicators edged ahead 0.1 percent
in March, buoyed by slower delivery times and still rising stock prices, the
Conference Board, a private research group, reports. The March increase
points to continued healthy growth in the United States economy for the next
6 months. ... (Daily Labor Report, page D-1)_____Rising stock prices and
signs of a backlog in the delivery of orders by vendors pushed a principal
gauge of future economic activity higher for the 6th consecutive month in
March, signaling continued strength in the economy. ... (New York Times,
page C2; Wall Street Journal, page A2).
With the summer driving season approaching, the price of gasoline across the
country has jumped sharply from historically low levels as major oil
producing countries cut supplies of crude oil. The supply of crude remains
the most crucial factor affecting gasoline, but many experts warn that a
shortage of anther kind may push prices at the pump higher in the months
ahead: tight supplies of refined gasoline in the United States. Demand for
gasoline has been increasing steadily, spurred by the economic boom of the
1990s, by the growing popularity of big sport vehicles that have relatively
poor gas efficiency -- and by the low price of fuel. In February, gas was
as low, on an inflation-adjusted basis, as it had been since the 1920s.
Even with price rises since then -- almost 20 percent -- energy prices
remain relatively modest in most parts of the country. ... (New York Times,
page C8).
Nonfarm payrolls are expected to have increased by 212,000 in April, after
March's slim 46,000 gain. The jobless rate is projected to have held steady
at 4.2 percent, and hourly earnings likely grew 0.3 percent. The Employment
Situation will be released on Friday, May 7 (Business Week, May 10, page
135).
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