Today we have the release of Automated Data Processing Payrolls as a second precursory indicator for the Non-Farm Payroll report later in the week. This report provides information about U.S. private sector job creation and is widely used by traders to determine the outcome of the NFP despite the data excluding public sector job creation. Expectations are that the result today will be positive.
Investor Notes: ADP Payrolls, 1215 GMT.
- Last month, fewer employers hired private sector workers than forecast, adding 179,000 jobs over the 206,000 added in April.
- The services sector posted the greatest gain in May’s ADP payroll report, which has lagged behind other sectors and represents the U.S. largest contributor to overall economic growth.
- The last ADP result did not provide much of a forecast for the last NFP event, which resulted in a significant rise in job creation of 217,000.
- It is expected that 207,000 jobs have been added to the private sector this month.
Banc De Binary analysts predict that the ADP Payroll report will be positive today, indicating a potential upward movement in the USD/JPY.