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U.S. Job Growth Surges Past Estimates; Unemployment Dips to 6.2%

(Bloomberg) U.S. employers added more jobs than forecast in February and the unemployment rate declined, suggesting the labor market is clawing its way forward again following several disappointing months.Payrolls increased 379,000 after an upwardly revised 166,000 January increase, according to a Labor Department report Friday. Economists in a Bloomberg survey projected a 200,000 February gain. The unemployment rate dropped to 6.2%.Follow reaction in real-time here on Bloomberg’s TOPLive blogA decline in Covid-19 cases, along with an easing of business restrictions in some states, is starting to result in more hiring even as millions of Americans remain unemployed. February job growth was propelled by a 355,000 surge in leisure and hospitality employment, an industry hardest-hit by the pandemic and key to a broader recovery in the labor market.“The core story here is that the re-opening of services will be the dominant factor in the payroll numbers over the next few mo ....

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Powell Likely to Push Back on Bond-Market Doubts Over Fed Policy

(Bloomberg) Federal Reserve Chairman Jerome Powell will probably seek to convince suddenly skeptical financial markets on Thursday that the central bank will be ultra-patient in pulling back its support for the economy after the pandemic has ended.Rather than trying to cap rising long-term interest rates, Fed watchers expect Powell to use his appearance at a Wall Street Journal webinar to reaffirm the Fed’s determination to meet its revamped employment and inflation goals by keeping monetary policy looser for longer, and to make clear he’d like to avoid a repeat of last week’s disorderly bond market.“It’s not an issue of trying to talk down the market,” said JPMorgan Chase & Co. chief U.S. economist Michael Feroli. “But you do want interest rates to be aligned with the Fed’s objectives.”That’s important for the economy’s long-run health. If the markets and the Fed are in sync, they’ll work togeth ....

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