The Federal Reserve’s statement today reinforces that the central bank will continue buying assets to spur economic growth, said Ethan Harris, co-head of global economics research at Bank of America Corp. in New York.
Employers in March added the fewest workers in nine months and the jobless rate fell to a four-year low as the share of Americans in the labor force slumped, marking a pause in the job-market recovery.
When Ben S. Bernanke asserted last month that the Federal Reserve doesn’t ever have to sell assets, he raised questions about how the central bank can withdraw its record monetary stimulus without stoking inflation.
‘Disappointing’ job gains will prevent the U.S. economy from growing as much as previously thought, according to Ethan Harris , head of North America economics at Bank of America-Merrill Lynch Global Research in New York.
The U.S. economic expansion probably will be crimped without being halted by the budget deal that won approval by the House of Representatives last night after being forged by the Senate and White House.