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7 Mar 2013
Last month of stable NFP growth in February before sequester brings uncertainty - Alexandra Estiot
Despite the fact that the US labor market was showing signs of improvement at the end of 2012 and in January 2013, many analysts believe that this positive trend might be coming to an end. In the opinion of Alexandra Estiot, Senior Economist at BNP Paribas, the February jobs numbers should still be decent, in the vicinity of 180K-200K, “but spring will be about uncertainty.”
The analyst believes that the direct impact of the US sequester on the labor market will become visible not earlier than April, while the indirect effects might be lasting and harmful. “Disruptions that will come from the furlough of civil servants will damage the good functioning of the overall economy, which is likely to translate into lower production and demand,” she predicts.
The analyst believes that the direct impact of the US sequester on the labor market will become visible not earlier than April, while the indirect effects might be lasting and harmful. “Disruptions that will come from the furlough of civil servants will damage the good functioning of the overall economy, which is likely to translate into lower production and demand,” she predicts.