ADP Payroll analysis for August reflects continued strong gains in the jobs market beating all expectations from the financial pundits. The official government stats will be released tomorrow (private and public sector); in the interim the ADP payroll of private sector job creation shows that Main Street continues to be very strong.
(Reuters) U.S. private employers added 195,000 jobs in August, above economists’ expectations, a report by a payrolls processor showed on Wednesday.
Economists surveyed by Reuters had forecast the ADP National Employment Report would show a gain of 149,000 jobs, with estimates ranging from 110,000 to 175,000.
Private payroll gains in July were revised down to 142,000 from an originally reported 156,000 increase. The report is jointly developed with Moody’s Analytics.
The ADP figures come ahead of the U.S. Labor Department’s more comprehensive non-farm payrolls report on Friday, which includes both public and private-sector employment. (more)
CTH would advise not to place too much emphasis on negative ISM manufacturing order index statistics now that a complete U.S-Global trade reset is underway.
Right now global supply chains are in a state of flux as manufacturers are moving production based on tariffs and geopolitical issues.
As the component manufacturing is moving from one place to another; and as manufacturers evaluate their supply chain stability; there are going to be swings in purchase orders based on shifts in production facilities. This is an expected dynamic that is necessary if President Trump is to succeed in pressuring product manufacturers to move operations.
The multinational Wall Street media will hype any downward component manufacturing fluctuation during this process, but the fluctuation itself doesn’t speak to any lessening of demand; merely shifted operations and shifting contracts (ie. purchase orders).
The internal U.S. economy is very strong. It’s the U.S. companies, multinationals, that rely on external operations for their end-product production income that are tentatively positioned.
Main Street is thriving; Wall Street is in flux. This is the exact opposite of two prior decades where Wall Street was thriving and Main Street was in flux. Why?…