188,000 new workers were added in June, more than expected. 150,000 is the standard expectation of economic growth, and steady growth we’ve seen, giving us reason to keep optimistic and cheer on the return of the way things were before.
Doubling the good news about higher than expected hires, as was reported by the ADP, which sometimes diverges from word from the Labor Department, we see that jobless claims were at 343,000, lower than the estimate of 350,000 which has been consistent these last few weeks. More people hiring, less people collecting, it’s a good situation, but one that is likely to fluctuate month to month, sometimes inexplicably.
“This would suggest that nothing has changed,” said Mark Zandi, Moody’s economist, to CNBC. “The job market is still remarkably stable.”
Regarding the divergence between the ADP and the Labor Department, Joseph LaVorgna, chief U.S. economist at Deutsche Bank, said “Our work has found the series to be the single best predictor of monthly changes in nonfarm payrolls. If ADP surprises us meaningfully in either direction, we will adjust our payroll forecast accordingly.”
Its always nice to be surprised in the right direction, to keep the verve on our optimism as economic prosperity continues to climb, and that’s what we’re seeing: employers continue to employ.June Hiring Better than Expected by Andrew Ostler