The Economy is Strong!

I am writing this shortly after the job numbers were released. March non-farm payrolls were up 303,000 versus an estimate of 200,000! Unemployment fell to 3.8% from 3.9% (per CNBC). Wages have also increased 4.1% from this time last year. All of this is good news for the economy. Healthcare actually created the most jobs (72,000). These numbers certainly do not indicate a recession is near or of any impending doom. The downside of all of these numbers is that the US Federal Reserve may wait even further to cut interest rates. The worry on the fed’s part is that inflation is still too high. It was 3.2% CPI in February. Americans are adjusting to higher prices overall. Restaurants are still very busy in my area. This is still a very good sign for our local economy.

On a non-economic note, Spring has arrived in Minnesota. I am not sure that we really had a true Winter though. To all of you living in much warmer climates, you too are no doubt enjoying much warmer temperatures. Spring always brings optimism to me. Whether it’s the anticipation of working in my yard and seeing the blooming shrubs or the hope that this is the year my golf game really improves! Ha!

I still remain optimistic for a good year in the stock and bonds market. We are off to a good start!

Have a great Spring everyone!

Opinions expressed in the attached article are those of the author/speaker and are not necessarily those of Raymond James. All opinions are as of this date and are subject to change without notice. Past performance may not be indicative of future results. The forgoing is not a recommendation to buy or sell any individual security or any combination of securities. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material.