The US Hiring Scheme Gains Steam

In the month of February, economy picked up good thrust henceforth creating jobs at a good pace. The unemployment rate started declining substantially. However, analysts suggest that the stronger employment gains are being risked due to the automatic cuts imposed by the federal government. When spoken of the lawmakers and other officials, experts said they are doing their best to get things on their right path. The news that needs focus is the momentum of the US economy into sequestration. Earlier in January the unemployment count reduced from 7.9% to 7.7%. In the month February, the Wall Street expected around 165,000 additional job.

The surprise rise in additional job offerings led the Dow Jones industrial average to a remarkable value of 14,397.07(closing stock). In the months to come the performance of the US economy is expected to be much better. Still, if the automatic reduction were not taken into picture, the performance could have been more robust. The unemployment rate is not expected to do much good in the times to come. The rate would shrink but only to a satisfactory level and not a good one. Most challenges are expected in the third and fourth quarter. This year the federal spending cuts are estimated to cost around 7, 00,000 jobs.

The labour industry is moving up, while there is no significant progress in the public sector jobs. The state and local government employees have counted much less in February. The current economy is trembling like never before. Even if the situation starts improving, something drags it down. This time it is the automatic spending cuts. Next time it could be something else. However, the jobs need to be taken care of. With the prevailing unemployment rate the economy can face a major downfall in near future without any prior knowingness.