Private sector employment increased by 172,000 jobs in June, according to the latest jobs report today from ADP, higher than the 152,000 consensus estimate from briefing.com.
“Since the start of 2016, average monthly job creation has slightly dropped, said Ahu Yildirmaz, vice president and head of ADP research in a released statement.
“Lackluster global growth, low commodity prices, and an unfavorable exchange rate continue to weigh on U.S. companies, especially larger companies” Yildirmaz added.
Mark Zandi, chief economist from Moody’s Analytics wrote in a statement, “Job growth revived last month from its spring slump. Job growth remains healthy except in the energy and trade sensitive manufacturing sectors. Large multinationals are struggling a bit, and Brexit won’t help, but small and mid sized companies continue to add strongly to payrolls” Zandi added.
Today’s ADP private sector jobs report is a precursor to tomorrow’s closely followed non-farm payroll report from the U.S. Bureau of Labor Statistics.
Economists from briefing.com expect tomorrow’s June’s non-farm payroll report to move higher from May’s disappointing jobs report which slumped to a 6 year low with only 38,000 jobs added.
A strike from Verizon in May reduced over 35,000 jobs from the monthly non-farm payroll tally. But the strike was over in June.
Economists from briefing.com have a consensus estimate of 175,000 jobs non-farm payroll jobs added in June.
Written by: John Schweitzer