June recruited another solid month may presage a more robust U.S. economy in the second half of this year.
Economists predict that the government reported Friday, employers last month, an increase of 165,000 jobs, about an increase in May. Unemployment rate is expected to remain at a still high 7.6%.
The Labor Department's employment report will be released at 8:30 am EST on Friday.
Job market and the economy have proved surprisingly resilient this year. Employment and consumer confidence remained stable, despite tax increases and cuts in federal spending.
Further employment growth, may help reduce unemployment and weak economic rebound after the start of this year. If economic growth accelerated, falling unemployment, the Fed may begin to reduce its bond-buying program before the year ends. Maintain long-term low interest rate bonds to buy.
Several reports on Wednesday suggested that employment remained stable in June, although perhaps not enough to reduce unemployment. Payroll provider ADP said companies employment increased 188,000 in June, the largest since February. Jobless claims remained below 350,000 up to a year, signaling fewer layoffs.
Closely watched measure of U.S. service sector showed that these companies stepped up hiring last month.
Despite the bright job prospects, slow economic growth. In the January-March quarter, expanding 1.8% per annum. Most analysts expect the poor in roughly the same rate of growth in April-June quarter.
Global economic weakness cuts May demand for U.S. exports. This has led some economists predict growth in the second quarter may be slower than expected. Still, in many parts of the economy is improving.
Fed's low interest rate policy to encourage more Americans to buy houses and cars. They also helped boost the stock market and housing prices in the first half, increasing wealth and enhance consumer confidence in five and a half years to the highest level.
In January-June car sales exceeded 78,000, their best first half, since 2007, according to data research firm Autodata Corp. And Ward's AutoInfoBank. Sales of previously occupied homes more than 5 million U.S. dollars in May, in November 2009 have occurred since the first time. New home sales rose by the fastest pace in five years.
While exports of harm reduction as manufacturing plants, May field more orders. Measure of business investment rose for the third consecutive month.
May be sufficient for the Fed began tapering stimulate stronger employment growth in the second half of last driven. Chairman Ben Bernanke said last month that the Fed will slow later this year to end their bond purchases next year if the economy continues to strengthen.
But Bernanke said that if the economy weakens, the Fed may delay its callback, and even strengthen its bond purchase program again. Several members have tried to clarify the Fed Bernanke's remarks that any tapering bond purchase will depend on economic strength.
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