A key U.S. banking official has said that the U.S. economy is headed in the “right direction” and strengthening as private employers hire more workers.
“The private sector is beginning to hire,” said Richard Fisher, the Federal Reserve Bank of Dallas’ President, during an interview with Fox News today. “We’d like to see that continue and in fact, increase.”
288,000 workers were hired last month, reported the Labor Department on Friday. This is the largest number of workers absorbed in a single month in two years. However, at least 800,000 individuals exited the labor market and the percentage of Americans of working age who are employed or actively looking for a job plunged to the lowest level in 36 years.
“We’re continuing to see job creation and people who want jobs will start looking for work, join the workforce, be hired, as business expands in the United States,” Fisher said, according to Bloomberg.
Fisher noted that the U.S. labor market has been hampered by the difficulty in finding trained and skilled employees, with businesses in 6 districts- New York, Dallas, Kansas City, Cleveland, Chicago and Richmond- finding it hard to find skilled labor.
The Federal Reserve has gradually started reducing its asset-holdings, which it accumulated during the onset of the 2008 financial crisis, as consumer spending and labor market improves. The central bank had nearly $4.3 trillion worth of assets by April 30. The Fed has also tapered its monthly bond purchases every month since December by $10 billion each time to the current level of $45 billion.
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