Weekly economic review & outlook
Job gains set up further growth in 2020
January 13, 2020
You Need to Know
Week in review
Payroll gains softer in December
The economy added 145,000 jobs to wrap up another solid year for hiring while the unemployment rate remained at a 50-year low of 3.5 percent.
Markets up as Iran tensions ease
The S&P 500 index rose again to record highs while crude oil prices retreated from a short-term spike as U.S.-Iran concerns declined.
Inflation likely to rise again
The CPI is expected to rise by 0.3 percent in December, bringing the 12-month trend rate up to its highest point in over a year.
Retail sales expected to rise after sluggish November
Retail sales growth was unexpectedly slow in November which should lead to a rebound in December, helped by a strong holiday shopping season.
Nonfarm payrolls added 145,000 jobs for December, modestly below consensus expectations. Even after slight downward revisions to prior months, the economy gained more than 550,000 jobs during the fourth quarter. This suggests that while job gains are easing a bit, as would be expected for an economic expansion in its 11th year, demand from employers for labor remains robust.