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ADP Implies A Sizeable Slowdown In Jobs Growth

US DATA
  • ADP private employment missed in May (128k vs cons 300k) as the pace of jobs growth slowed materially.
  • Sizeable revisions especially back in March see the 3mma running at 200k from 630k in the prior three months, but there are the usual issues with poor correlation to NFPs.
  • Small businesses again take the hit, with employment falling in three of the past four months. Whilst at first glance this could be a sign of not being able to compete with larger companies for labor or perhaps just more caution on the outlook ahead, it's not unusual to see declines in this sector even if they have been on the larger side.

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