Oliver Mangan: US employment surges as inflation declines

Times Square in New York. New data points to continuing strong labour market conditions across the USA.

Is the soft landing for the US economy, that even the US Federal Reserve had doubts could be achieved, coming into view? US Treasury Secretary Janet Yellen seems to think so: She said last week she sees a path for the US economy to avoid recession, helped by a significant decline in inflation and a strong labour market.

Ms Yellen proclaimed that you don't have a recession when the US is adding  500,000 jobs in a month amid  “the lowest unemployment rate in more than 50 years”. Her comments came after US non-farm payrolls unexpectedly expanded in January, well above the 185,000 consensus forecast, with the unemployment rate dropping to 3.4%, the lowest rate in the US since 1969.