This week will see the release of a range of US economic data with Friday’s monthly jobs report being the most eagerly anticipated.
Employers have probably added more workers in August and the jobless rate is going to remain at a four-year low, according to a group of analysts surveyed by Reuters. This will clearly signal a strengthening U.S. labor market which will help to sustain growth. Payrolls are expected to have risen by 180,000, following a 162,000 gain in the previous month. Manufacturing probably cooled off after having expanded in July at the fastest rate in two years, other data may show. Faster hiring and income gains will help underpin consumer spending and allow the world’s largest economy to better weather the lingering effects of higher taxes and federal budget cuts. Federal Reserve policy makers are watching the job market and general US markets outlook as they debate scaling back on monthly bond purchases meant to stimulate growth and to cut unemployment.