#adpwatch USA – ADP Employment Change: Sign of Slowdown

The ADP report on U.S. private employment showed an increase of +22,000 jobs in January, a figure significantly below market expectations (+48,000) and weaker compared to the previous month.

Employment growth remains positive, but the pace indicates a cooling of the labor market, with contributions mainly concentrated in services (healthcare and education), while manufacturing and professional services are in contraction.

The ADP figure is macro-bearish in the short term for the USD and moderately supportive for risk-sensitive assets, but not sufficient on its own to change the policy regime. It rather confirms a phase of late-cycle cooling of the labor market #USA. .

Photo by Jorge Vasconez on Unsplash