Economics

Goldman, JPMorgan See Chance U.S. Unemployment Drops Below 3%

  • Goldman, JPMorgan see four rate increases in 2018 and in 2019
  • Powell was in diapers last time joblessness was below 3%
Photographer: Gabby Jones/Bloomberg
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U.S. unemployment is primed to fall significantly further and could drop below 3 percent for the first time since 1953, the year central bank chief Jerome Powell was born.

That’s according to economists at Goldman Sachs Group Inc., JPMorgan Chase & Co., Deutsche Bank AG and Moody’s Analytics Inc. With an already solid economy set to receive a double dose of fiscal stimulus, they argue that a drop in joblessness from its 17-year low of 4.1 percent in February is all but inevitable.