After falling short of the benchmark figure for two straight months, private sector employment was bolstered by companies with more than 1,000 employees, which gained 109,000 of the jobs for September.
ADP said that manufacturing employment fell by 15,000 in September, declining for the fifth time year-to-date.
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Continuing the trend throughout the recovery, services sector proved to be the largest job producer adding 188,000 new positions whereas goods producers added 12,000 positions in the month.
Buoyed by strong consumer spending and steady home sales, USA businesses added jobs at a healthy pace in September, according to a private survey.
Moody’s Analytics jointly developed the private jobs report with ADP. The September ADP result was in-line with the average this year. “At this pace, full employment is fast approaching”, he said.
This report comes ahead of the official numbers from the Bureau of Labor Statistics on Friday, and economists are divided over whether it is a reliable leading indicator of those data.
Economists polled by Reuters expect Friday’s report to show us employers hired 203,000 workers in September, improving from August’s 173,000 increase which was the smallest in five months.
US stocks rose partly on the better-than-expected ADP data, while Treasuries prices stayed in negative territory and the dollar tacked on earlier gains. Professional and business activities increased by 29,000 jobs, just slightly shy of August’s 30,000; trade, transportation, and utilities added 39,000 jobs, up from August’s 25,000; financial activities added 15,000 jobs in September, after adding 14,000 in August.
“Businesses with more than 1,000 employees contributed over half the job gains in September, despite weakness in energy and manufacturing”, Ahu Yildirmaz, vice president and head of the ADP Research Institute, said in a prepared statement. Further information is available at www.moodysanalytics.com. All other marks are the property of their respective owners.