Trump’s First Economic Report Card: A Strong 235,000 Jobs Added in February

Mar 10 2017, 9:25 am ET
by Lucy Bayly

The first full jobs report of the Trump administration came in like a lion: America added 235,000 new jobs to the economy in February, beating analyst expectations that had pegged the monthly figure at 190,000, and paving the way for a Fed rate hike.

Data from the Bureau of Labor Statistics also showed that the unemployment rate ticked down from 4.8 percent to 4.7 percent, indicating that slightly fewer Americans are out looking for work.

Wage growth, a key indicator that disappointed in January but had a strong showing in December, at 2.9 percent — the biggest uptick in seven years — also improved for February, hitting 2.8 percent year on year. Higher wages indicate a tighter labor market, with employers forced to offer better pay to attract workers.

The strong jobs data represents the last piece of the puzzle for the Federal Reserve and essentially seals the deal for an interest rate hike next week at its two-day monetary policy meeting on March 14-15.

Fed Chair Janet Yellen said last week that the current labor market already meets the Fed's goal and that policymakers judge it will be "appropriate to gradually increase the federal funds rate if the economic data continue to come in about as we expect."

Trump's economic report card is the first grading of his bold agenda for job creation. The President has promised to create 25 million new jobs over the next decade, based on campaign promises of tax cuts, deregulation, and an increase in spending on infrastructure.

However, Trump has repeatedly referred to the unemployment rate as a hoax, even suggesting the actual figure is as high as 42 percent. Treasury Secretary Steven Mnuchin also told lawmakers during his confirmation hearing in February that he believes the unemployment rate "is not real."

White House Press Secretary Sean Spicer tweeted out his approval of the jobs report:

Sean Spicer
✔
@PressSec

Not a bad way to start day 50 of this Administration https://twitter.com/presssec/status/840198752237473792 …
8:57 AM - 10 Mar 2017
http://www.nbcnews.com/business/econ...0-jobs-n731716