US Economy Adds Strong Jobs, Inflation Cools as Recession Fears Ebb

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US Economy Adds Strong Jobs, Inflation Cools as Recession Fears Ebb
US EconomyJobs GrowthInflation
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The US economy defied expectations by adding 254,000 jobs in August, exceeding forecasts and signaling a robust labor market. Inflation also continued to cool, raising hopes for a 'soft landing' where the Federal Reserve can curb inflation without triggering a recession.

, in which inflation returns to normal levels while the U.S. economy averts a recession, experts told ABC News.

The fresh jobs data defied any such worries by presenting a rosy picture of the economy in which employers are hiring at a strong pace, a large share of people are staying on the job and wages are rising at a fast rate, analysts said. The spike in interest rates elicited gloomy forecasts of a recession from many economists, since high interest rates typically weigh on economic activity, causing businesses to slow investment and lay off workers.

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