The latest evidence from private payroll processor, ADP, suggests the winter activity rebound continues and conflicts with the Conference Board’s view of weaker jobs growth.
The April jobs gain of 220,000 edged ahead of estimate
and was accompanied by further good news of an upwards revision to the March reading. It initially delivered an employment gain of 191,000 and was lifted to 209,000. The net two-month improvement over and above what economists had expected prior to the report was 29,000 additional private jobs. The latest reading was the strongest since November when the economy generated 244,900 positions. In each of the latest three months the economy has generated 202,000 on average, which is likely to be an important factor in the face of an expectedly anemic GDP report later this morning. The service sector added 196,700 positions and the most since November, while the pace of job creation within the professional and business sector at 76,900 was the highest tally since November 2012.
ADP shows business and professional hiring rebounded strongly.