Expect another promising jobs report this week.
Axios reports that several economists have estimated that around 2 million jobs were added in the United States in April, a pace that hasn't been seen since May and June 2020 after the passage of the CARES Act. While the numbers won't match June of last year, when 4.8 million jobs were added, they should still signal a momentum swing for the U.S. following the 916,000 jobs added in March.
The reason is simple: people in the U.S. are getting vaccinated against COVID-19 and infections are falling, allowing for businesses, particularly those in vulnerable sectors, to open up safely, Claudia Sahm, a senior fellow at the Jain Family Institute, told Axios. Aneta Markowska, chief economist at Jefferies, reportedly said in a note to clients that the leisure and hospitality industry, as well as retail and health and personal services should "enjoy significant increases."
It's not all rosy, however. Bank of America chief economist Michelle Meyer echoed other warnings from folks like Federal Reserve Chair Jerome Powell that the labor force participation, which remains at its lowest level since 1976 "may struggle to return" to pre-pandemic levels, per Axios. Read more at Axios.