Unless you’ve been living under a rock since February 2020, you’ve probably noticed the economic impact worldwide of the novel corona-virus, Covid-19. There has been little to no positive news even as Governors ease restrictions and states/counties move from red to yellow to green phases, until the May 2020 unemployment rates were released days ago. According to the Bureau of Labor Statistics, May saw an increase of 2.5 million jobs and an unemployment rate of 13.3%, down from April’s 14.7%. This number came as a overwhelmingly positive shock as most experts had predicted it to increase to near 20%, the worst figure since the Great Depression.
Although the numbers are somber with 21 million Americans still out of work, the unemployment numbers show signs of an economic recovery, a recovery much quicker than anyone anticipated. The head of global markets of Citizens Bank, Tony Bedikian, says “Barring a second surge of Covid-19, the overall U.S. economy may have turned a corner, as evidenced by the surprise job gains today, even though it still remains to be seen exactly what the new normal will look like.” The sectors with the biggest increases were leisure/hospitality (+1.2M), construction (+464k), education/health services (+424k) and retail (+368k).
While there may be some ambiguity to the actual unemployment rate numbers, all indications are that they will remain a positive light in this year of negativity and monotony. Vacation and travel sectors saw historic increases and the overall economic situation seems to be improving, even if ever so slightly. Markets rallied across the board from the DJI and the SP500 to commodities trading. Given the state of current markets, combined with some positive economic numbers and a new OPEC cuts deal, now may be the time to reach out to a Guttman Sales Team member to discuss the future of your fueling needs.