(menafn – ecpulse) (MENAFN - ecPulse)
The present recovery path is gaining momentum gradually throughout most of the economical activities and conditions of the world's superpower, as what was already attested throughout the last Fed Beige Book and yesterday's FOMC Rate Decision, having manufacturing, services and housing conditions expanding recently across the country along with better than-forecasted first-quarter results posted these days by huge well-known U.S corporations.
Not forgetting that the U.S stocks managed to close in green yesterday, despite the fact that the S&P's credit-rating downgraded Greece and Portugal yesterday and than Spain today, as new recent better-than forecasted first-quarter results reported by huge U.S corporations as Dow Chemical Co. and Owens Corning Inc and the Federal Reserve's pledge to keep interest rates at a record low.
Plus, the Federal Open Market Committee decided yesterday to keep its benchmark interest rate unchanged and low between 0.0% and 0.25% as what was already highly expected, knowing that the Feds still strongly believe that low rates will support the economy and help boost growth since the current recovery is still taking place but at a slow and gradual pace.
In fact, the Committee attested that the overall economic activity has continued to gained momentum and that the labor market deterioration is starting to ease, while growth in household spending has currently enhanced but remains constrained by high unemployment, modest income growth, lower housing wealth, and tight credit.
Accordingly it is clear that the labor market throughout this past period has showed some extreme slender signs of revival but continues on being deteriorated and corroded by the ongoing downside pressures of the economical predicament and will delay accordingly a full strong healing of the country from the present recession, having in mind that this is a key sector behind overall economical growth.
Still, later on today we may see further signs of slender enhancement of this deteriorated key sector as the overall number of people filing for unemployment benefits may have slightly plummeted, knowing that the Initial Jobless Claims for April 24 may have dropped cheerfully to 445 thousand from 456 thousand, while that the Continuing Claims for April 17 could have dropped to 4618 thousand from 4646 thousand.
