Consumer confidence rebounds in May
May consumer confidence rose to 87.4 from 84.8 in April, helped by improving current conditions and job prospects. The index remains below January’s 106.3 peak as employment gains support optimism amid mixed news from Iraq and a 4.2 percent GDP growth in early 2024.
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Iraq
U.S
Labor Department
Job boom boosts fears of higher rates as stocks fall
The Dow fell 104.83 points to 10136.43 as investors digested April payrolls showing 288000 jobs added, with March revised up to 337000. Analysts expect the Fed to raise rates next meeting, while bets on rate relief waned amid solid growth.
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New York
Federal Reserve
Chris Conkey
Evergreen Investments
Fed
Hiring surge as unemployment rate falls in April
The Labor Department reports payrolls up for eight straight months with nearly 900,000 new jobs this year and the unemployment rate slipping from 5.7 to 5.6 percent. Analysts expect the Fed to begin rate increases this summer as Bush touts tax cuts amid a job market recovery and rising deficits.
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Bush
Labor Department
Ken Mayland
ClearView Economics
Wall Street
Federal Reserve
Iowa
Wisconsin
Congress
David Bray
Los Angeles
Robert Hall International Inc
Economy forces firms to hire as productivity gains fade
New York AP reports that after two years of productivity driven growth companies add workers again. Employers added 288000 payroll jobs in April, marking robust hiring for the eighth straight month and reversing 2 1/2 years of job losses. Economists say demand in service sectors requires more labor. Nomura’s analyst notes productivity boom has subsided and capacity to squeeze output further is near exhaustion.
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New York
Nomura Securities
Sung Won Sohn
Wells Fargo & Co
Minneapolis
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