Private Sector Job Growth Slows to 146,000 in November, Falling Short of Projections
The ADP report highlights a cooling labor market with mixed industry performance and tempered wage increases.
- The U.S. private sector added 146,000 jobs in November, below economists' expectations of 150,000 and down from October's revised total of 184,000.
- Wage growth for workers staying in their jobs rose to 4.8% year-over-year, marking the first increase in over two years, while pay growth for job switchers slowed to 7.2%.
- Manufacturing, financial services, and leisure and hospitality sectors showed weaker performance compared to other industries in November.
- The ADP report precedes Friday's Labor Department release of the November nonfarm payrolls report, which is expected to show a hiring increase of 202,000 and an unemployment rate of 4.2%.
- Market indicators, including stock futures and Treasury yields, reflected cautious optimism following the report, with a 74% probability of a December Federal Reserve rate cut projected by CME Group's FedWatch tool.