ADP hints at another strong NFP on Friday
The monthly ADP labour market report showed that America created 192K new jobs in April, above the forecasted 179K and following +208K in March (revised from 184K).
Overall, there was a slight slowdown in wage growth to 5% y/y from 5.1% a month earlier, which is still quite high because of high employment and the impressive pace of job creation by historical measures.
The report noted weakness in the information sector, which cut jobs and slowed wage growth. When broken down by company size, large companies with more than 500 employees contributed the largest portion (+98K).
When broken down by industry, Construction surprised (+35K), which is huge for an industry that makes up only 5% of the labour force. Among services, Leisure and hospitality (+56K) led the way once again.
The ADP report fuelled expectations of a strong Friday's official statistics. Still, its impact on the market is tempered by the market's focus on today's FOMC meeting and the decline in predictive power in recent months.
By the FxPro Analyst Team
Brent has soared above $100. Is this just the beginning?
Today Fundamental Analysis: Brent Holds Around $100 Amid Fresh US-Iran Escalations
S&P 500 Stepped From Record Highs, but Market Breadth Is Flashing a Warning 💥
Bitcoin: the golden cross signals an uptrend, but not right away
US Inflation Data and Elevated Asset Valuations — Nasdaq, S&P 500 and Gold
China50 Tests 14,600 Resistance as Investors Await Inflation Data
Dollar slips, yen surges as Middle East tensions escalate
