Companies added 158,000 workers in October, according to a private report based on payrolls. The increase in employment was higher than forecast, data from the Roseland, New Jersey-based ADP Research Institute showed today. This is the first ADP report derived using a larger sample and new methodology.
The median forecast of 37 economists surveyed by Bloomberg projected a 131,000 advance. Estimates ranged from 80,000 to 170,000. The previous methodology showed a gain of 162,000 jobs in September.
Applications for jobless benefits fell 9,000 to 363,000 in the week ended Oct. 27, the fewest in three weeks, the Labor Department reported today in Washington. Economists forecast 370,000 claims, according to the median estimate in a Bloomberg survey.
“There are signs of improvement in the U.S. economy,” said Michael Quach, a global investment strategist at Smith & Williamson Investment Management Ltd. in London. “Yields will probably rise from here, but I don’t think they will move much higher because the recovery is far from robust.”
The U.S. jobless rate climbed to 7.9 percent in October from 7.8 percent in September, another Bloomberg survey of economists showed before the Labor Department data tomorrow. It will be the last of the monthly employment reports before the Nov. 6 presidential election.
The Institute for Supply Management’s U.S. factory index was at 51 from 51.5 in September, according to a Bloomberg survey before the report is released at 10 a.m. New York time, also indicating expansion. Commerce Department data at the same time will show construction spending rose 0.7 percent in September after a 0.6 percent decrease, based on the surveys.
A Chinese manufacturing gauge based on a survey of purchasing managers climbed to 50.2 in October from 49.8 in September, the National Bureau of Statistics and China Federation of Logistics and Purchasing said in Beijing. Readings above 50 signal expansion. South Korea’s exports unexpectedly increased in October, Statistics Korea said.