What to watch

Recession? Fresh data indicates otherwise

The growth scare of 2016 might be getting a tad less scary, thanks to incoming U.S. economic data that has defied naysayers’ fears.

The latest sign of a U.S. economy showing strength, not weakness, was a strong private employment report from payroll processor ADP, which showed private employers added 214,000 new jobs in February, above the 190,000 analysts had forecast.

One Wall Street economist says the strong jobs number is miles away from a recession.

“The rest of the world is slowing perhaps, but that isn’t the story here,” Chris Rupkey, chief financial economist at MUFG Union Bank, wrote in a report. “Private payroll jobs are running a rock solid 214,000 in February, which is not even remotely indicating the economic expansion is coming to a halt. Not even a stop sign on the road to recovery.”

The continued strength of the job market follows a trio of strong data points released Tuesday, when Wall Street got U.S. beats on manufacturing, vehicle sales and construction spending.

The improving data is cited by Wall Street pros as a key reason why stock prices have firmed up after the worst start to a year ever. Sreekala Kochugovindan, an analyst at Barclays, put in this way: “Risk assets (like stocks) rally as growth fears fade.”

Up next: fresh readings Thursday on factory orders and the services sector of the economy. And coming Friday: the all-important February jobs report released by the government.