Hello,let us know 'ADP National Employment Report',read below.
The ADP National Employment Report provides a monthly snapshot of U.S. nonfarm private sector employment based on actual transactional payroll data.
It is also popularly known as the ADP Jobs Report or ADP Employment Report.
The report is sponsored by Automatic Data Processing Inc., the firm that has prepared the report since 2006, handles payroll for about a fifth of U.S. private employment.
The ADP National Employment Report is viewed as a useful preview to the more detailed Bureau of Labor Statistics’ Employment Situation Report.
Why is the ADP National Employment Report important?
If you’re employed by a non-government company, there’s a possibility that your paycheck is processed by Automatic Data Processing Inc. (ADP).
The company handles payroll for about a fifth of U.S. private employment, putting it in a unique position to survey trends in the nation’s labor market.
Traders often consider the ADP report as the prelude to the BLS release of NFP because of the existent correlation between the two. The overlaying of both series below should speak for itself.
Another reason that forex traders follow this report is the same as with the Employment Situation report.
Solid growth in employment figures increases inflationary pressures which increase the likelihood that the Federal Reserve will raise interest rates.