Link Securities | According to US payroll processor ADP, the US economy created 42,000 net private jobs in October, following two months in which private companies destroyed net jobs (3,000 in August and 29,000 in September). The FactSet analyst consensus expected a slightly lower reading of 37,500 net private jobs.
In October, the education, healthcare, retail, transport and public services sectors led private employment growth in the US. Conversely, for the third consecutive month, companies reduced their workforce in the professional services, information, leisure and hospitality sectors.
According to ADP analysts, private companies created jobs in October for the first time since July, but hiring was moderate compared to reports from earlier in the year. Meanwhile, according to these analysts, wage growth has remained virtually stagnant for more than a year, indicating that changes in supply and demand are balanced.
