Data justifies Janet Yellen’s go-slow approach, economists say
by Greg Robb
WASHINGTON (MarketWatch) — Fresh data from the Labor Department Friday has given the Federal Reserve the green light to raise interest rates in June, economists said.
The U.S. created 215,000 new jobs in March, the government said. The unemployment rate rose a notch to 5% from 4.9% but that was because more Americans joined the labor force.
“The Fed will probably move in June,” said David Berson, chief economist at Nationwide Insurance.
A move in June fits with Fed Chairwoman Janet Yellen’s go-slow approach, Berson said. The Fed has only lifted rates once in over seven years, with the quarter-point hike in December.