Unemployment Rises Above Forecast, and Inflation Slows Down; President Biden’s Economy Approval Dips in CNN Poll

The recent rise in the jobless rate in the United States, which reached 3.9 percent, was higher than what economists had predicted. This news was reported by the Labor Department shortly after a Federal Reserve committee decided not to cut interest rates. According to Joseph Gaffoglio, president of Mutual of America Capital Management, the slower jobs report would likely be seen positively by the Federal Reserve.

The Fed has been cautious about cutting interest rates to avoid inflationary pressures. However, this caution could continue to put pressure on the job market in upcoming months as prices rose 3.5 percent in March compared to a year earlier, which is further away from the Fed’s inflation target than at the end of last year.

A recent CNN poll revealed that only 34 percent of voters approve of President Biden’s handling of the economy, while 29 percent approve of his handling of inflation. Additionally, voters perceive former President Trump, who is presumed to be the Republican presidential nominee, as being better suited for managing the economy than Biden.

As the 2024 election approaches, there has been growing scrutiny of the Fed and its interest rate policies. Taylor Giorno from The Hill provides more information on this topic.