ADP Shows US Private Companies Added 235,000 Jobs in February

Companies in the U.S. added more workers in February than expected, underscoring continued strengthening in the labor market, according to data released Wednesday from the ADP Research Institute.

Key Takeaways

The results show a continued trend of robust hiring as companies hunt for employees to fill empty spots. The gains point to sustained consumer spending, which accounts for about 70 percent of the economy.

Every single sector except information gained jobs in the period. The report is based on ADP’s payroll data, representing about 411,000 firms employing almost 24 million workers in the U.S.

The ADP reading compares with the median estimate of economists for 198,000 private-sector job gains in February, ahead of the Labor Department’s monthly figures due Friday. The unemployment rate probably fell to 4 percent from 4.1 percent in the prior month, according to analyst forecasts.

Economist’s View

“The job market is red hot and threatens to overheat,” Mark Zandi, chief economist of Moody’s Analytics Inc. in West Chester, Pennsylvania, said in the statement. Moody’s produces the figures with ADP. “With government spending increases and tax cuts, growth is set to accelerate.”

via Washington Post

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza