Friday’s key Labor Department report on unemployment and payrolls will be highly watched, and we have two nongovernmental reports that could significantly change those expectations. The ADP report for July looked good on the surface, with the U.S. economy adding some 200,000 payrolls during the month. Dow Jones was calling for 183,000 and Bloomberg was calling for 179,000 as the consensus estimates. Where the problem arises is that TrimTabs also released its own report on the jobs market, and this outfit projects that the U.S. really only added 23,000 payrolls in July.
Either number could be considered an estimate-changing report. Friday’s unemployment rate is expected to have fallen to 7.5% in July from 7.6% in June. Its nonfarm payrolls is expected to be up 175,000, and the payrolls from the more important private sector are expected to be up by 187,000, according to Bloomberg.
Imagine what happens when economists see…
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