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The numbers: The U.S. created 379,000 new jobs in February — the biggest gain in four months — in what’s likely to be a preview of a surge in hiring in the months ahead as most people get vaccinated and the economy fully reopens.
The increase in hiring last month was concentrated at businesses such as restaurants, retailers, hotels and entertainment venues as states eased restrictions on customer limits and public gatherings. Most other industries also added workers.
See: A visual look at how an unfair pandemic has reshaped work and home
The official unemployment rate, meanwhile, slipped to 6.2% from 6.3%, although economists widely believe the real rate is much higher.
Federal Reserve officials peg the jobless rate at closer to 10% after adjusting he data for distortions caused by the pandemic.
The rebound in job creation in February is likely the start of a major new cycle of hiring. Warmer weather, falling coronavirus cases, rising vaccinations and another massive increase in federal stimulus are likely to act as jet fuel for the economy in the spring and summer, Wall Street pros and Fed officials say.
Read: Inflation worries are back. Should you worry?
The increase in new jobs easily exceeded Wall Street expectations. Economists surveyed by Dow Jones and The Wall Street Journal had forecast 210,000 new jobs. Stocks rose in premarket trading.
The big picture: The economy is poised to start growing by leaps and bounds again after a tough winter — if the coronavirus vaccines prove very effective.
An effective vaccine will allow states to remove all restrictions, let Americans go about their lives again without fear for their safety and give companies the incentive to hire. Fresh government stimulus will only add to the budding momentum.
Market reaction: The Dow Jones Industrial Average DJIA, -1.11% and S&P 500 SPX, -1.34% were set to open higher in Friday trades.
