© Dukascopy Bank
|
"The economy is still pushing forward, but many hurdles to further acceleration remain"
- Jim Baird, chief investment strategist for Plante Moran Financial Advisors
U.S. unemployment rate unexpectedly fell to 8.5 per cent in December from 8.7 per cent in November as employment growth accelerated, offering the evidence the U.S. economy is gaining momentum. Nonfarm payrolls rose by 200,000 last month, the U.S. Labor Department said on Friday.
"You got the trifecta -- more people working, wages up and the average work week up," said Stuart Hoffman, chief economist at PNC Financial Services Group Inc. in Pittsburgh. "You can't really argue that that isn't a sign of significant improvement in the job market."
"While positive, it's important to contain optimism about the outlook in the months ahead," said Jim Baird, chief investment strategist for Plante Moran Financial Advisors in Kalamazoo, Michigan. "The economy is still pushing forward, but many hurdles to further acceleration remain."