The last few months have seen ADP employment gains trending lower, alongside the plunge in ISM/PMI survey data (driven by job losses in the goods manufacturing sector), and November's data confirms that slowdown (just as we warned here).
ADP National Employment Report prints +67k (drastically below expectations of +135k and October's +121k)
The Goods-producing sector lost 18k jobs (as services added 85k)...
“In November, the labor market showed signs of slowing,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute.
“The goods producers still struggled; whereas, the service providers remained in positive territory driven by healthcare and professional services. Job creation slowed across all company sizes; however, the pattern remained largely the same, as small companies continued to face more pressure than their larger competitors.”
Full Breakdown highlights the job losses in Mining, Manufacturing, and Construction...
Mark Zandi, chief economist of Moody’s Analytics, said:
“The job market is losing its shine. Manufacturers, commodity producers, and retailers are shedding jobs. Job openings are declining and if job growth slows any further unemployment will increase.”