UPDATE 2-Most US data won’t be issued if gov’t shuts down

* No data releases from U.S. Commerce or BLS in shutdown

* Fed would continue to release economic data

* Bureau of Economic Analysis, Bureau of Census to close

* Economics and Statistics Administration would also shut
(Adds economist comment, data due for release next week)

WASHINGTON, April 7 (Reuters) – Most U.S. economic data
would not be released if the budget impasse in Congress results
in a government shutdown, although the Federal Reserve would
still issue its reports.

No data from the Commerce Department or from the Bureau of
Labor Statistics, which handles the closely-watched monthly
employment report, would be released, a U.S. official said on

The government will shutter all but emergency services at
midnight on Friday unless Republicans in Congress and President
Barack Obama’s Democrats agree over budget cuts, or pass
another temporary funding bill.

The shutdown could complicate efforts to read the health of
the U.S. economy at a time when rising energy prices and the
devastating earthquake and tsunami in Japan are casting a
shadow over the global recovery.

“It’s a critical time to be able to gauge what is going on.
We have uncertainty about the impact of Japan, the rising
interest rates in Europe and we are unsure about energy
prices,” said John Canally, an economist at LPL Financial in

A shutdown would also delay the release of inflation data
due next week which investors monitor closely for clues as to
when the Federal Reserve might start tightening monetary

U.S. retail sales data will also be affected, but
economists can get some sense of what is happening with
consumer spending from other independent sources.

It was not clear if the disruption to data releases would
extend to weekly U.S. jobless claims, handled by the Employment
and Training Administration at the Department of Labor. But
many of ETA’s functions would be hit, including work on visas
and grant applications.

Data releases from the Fed, however, would continue despite
a shutdown because the U.S. central bank does not operate under
funding allocations approved by Congress.

This would include monthly U.S. industrial production data,
next due out on April 15, and the Fed’s weekly publication of
information regarding its own balance sheet.

Even Fed releases that depend on government data are
unlikely to be affected since many of the individuals
responsible for that information will be considered essential
employees who would continue to work.
(For full budget coverage, double-click on [ID:nUSBUDGET])

UPDATE 2-Most US data won’t be issued if gov’t shuts down