The U.S. economy could still grow strongly this year. That is the view of National Economic Council member Kevin Hassett. His comments came after a surprising decline in the latest jobs report.
U.S. nonfarm payrolls fell by 92,000 jobs in February. Economists had expected the economy to add about 58,000 jobs during the month. The unexpected drop raised fresh questions about the strength of the labor market.
Despite the disappointing data, Hassett said he remains optimistic about the economy. He believes growth could reach around 4% this year.
US economic growth outlook remains strong
Hassett said people should not focus too much on one monthly report. Job data can move up and down from month to month. He believes the better approach is to look at longer trends.
According to him, the overall job numbers still show stability when averaged over several months. He said the economy is also experiencing a strong productivity boom.
Higher productivity means workers are producing more output. This can support stronger economic growth even if hiring slows temporarily.
Because of this trend, Hassett believes the U.S. economy still has solid momentum going into the rest of the year.
Strategic Petroleum Reserve release not under discussion
Hassett also spoke about energy policy. He said there are currently no discussions about releasing oil from the Strategic Petroleum Reserve.
The reserve is often used during supply shocks or major price spikes. However officials do not appear to be considering that step right now.
This suggests policymakers are not seeing an urgent need to intervene in energy markets at the moment.
Tariff refund disputes may be decided in courts
Another topic raised during the interview was tariff refunds. Hassett suggested that legal battles could play a key role in how the issue unfolds.
He said large companies and other major players will likely challenge policies through litigation. These legal cases could help determine how refund decisions are handled.
Hassett added that private actors will eventually figure out how the process should work. The outcome may depend on how courts interpret existing trade policies.