Moody's Analytics warns that U.S. growth around 2% is unlikely to generate strong job gains. Mark Zandi said the latest labor data show a positive development in initial unemployment claims, but firms remain reluctant to add many new employees. He stresses that sustained job creation is essential to prevent the economy from tipping into recession.

Zandi highlighted the disconnect between improving claims figures and weak hiring: while layoffs may be easing, payroll growth has not picked up enough to support broader demand. Growth near 2% typically does not deliver the level of job creation needed to close slack in the labor market.

The assessment underscores the importance of monitoring payrolls and hiring trends as indicators of whether modest GDP growth can be translated into stronger employment and a more resilient economy. #US #Jobs #MoodysAnalytics #FiatNews