A 271,000 surge in the ADP number (private payrolls) in December provides further evidence that the US economy remains in a healthy shape going into 2019.
- This is the highest number of monthly new hires since February of 2017.
- The services sector led the way as professional businesses & services, education & health and leisure & hospitality all saw a stronger than expected pace of hiring.
- For non-services, construction also surprised to the upside while manufacturing employment growth showed some softness compared to a year ago.
- This is supportive of the Fed’s dot plot for hikes to continue this year although Fed Funds futures disagree.
Other Econ News
- Initial Jobless Claims crept higher this week
- Based on ADP, ISM employment number might disappoint when released at 10:00
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