Note the warning that UP could soon drop below 5%. These people are getting more brazen all the time. > ---------- > BLS DAILY REPORT, WEDNESDAY, APRIL 2, 1997 > > Nonfarm payroll employment rose in 46 states and the District of > Columbia in February, with Arizona and Colorado reporting the largest > percentage increases, BLS reports. Payrolls expanded by 0.9 percent > in Arizona, followed by Colorado, with a 0.8 percent increase, and the > District of Columbia with an 0.7 percent gain ....(Daily Labor Report, > page D-1). > > __New figures show the U.S. economy is continuing to expand at such a > strong pace that the Fed is likely to raise interest rates again next > month unless there are clear signs that growth is slowing, financial > analysts said. The surge in growth, which began late last year and > surprised both Fed officials and private forecasters by continuing > undiminished into this year, is strong enough that it could soon drive > the nation's jobless rate below 5 percent for the first time in nearly > a quarter century, the analysts warned ....The National Association of > Purchasing Management said its survey found that the manufacturing > sector of the economy expanded last month at the fastest rate in more > than two years. And the Commerce Department said construction > spending rose 2.3 percent in February -- a large increase that led to > the addition of 109,000 workers to construction payrolls ....The next > important figures, those on payroll employment and the unemployment > rate for March, are due out Friday. Many analysts anticipate another > in a long string of payroll gains of 200,000 or more, though a few > said the gain might be only 125,000 or so ....(Washington Post, page > A1). > __Evidence mounted that the economy accelerated markedly in recent > weeks though inflation appeared to remain in check. In what analysts > considered the most important of three fresh sets of strong figures, > corporate purchasing executives reported that their index of factory > activity climbed in March to match its highest reading in more than > two years. The employment component of the index rose after 24 > consecutive months of contraction in the number of factory jobs, and > suppliers needed more time to deliver goods. But the report also > showed an easing of the prices-paid component, a gauge of inflation > ....Also, the Conference Board reported that the index of leading > indicators rose strongly in February. And the government reported > that construction spending that month posted the biggest gain since > March 1994 ....(New York Times, page D4; USA Today, page 1B; > Washington Times, page B8; Daily Labor Report, pages A-2, A-9, D-13;). > __Corporate America is doing little so far to rein in its production > and investment plans for the coming months, despite the threat of > further interest-rate increases by the Fed. Economic reports > portrayed a vibrant economy, with prices still in check ....(Wall > Street Journal, page A2). >
