ADP Prints Big Surprise Drop In Employment In December

After a few weeks of re-rising jobless claims (with Pandemic Emergency claims substituted for normal ongoing claims) and over 20 million Americans still on unemployment rolls, analysts expected a weak +75k rise in employment from ADP in December.

Instead it was much worse, with ADP reporting a 123k drop in employment – the worst since April…

Source: Bloomberg

Both large and small businesses saw losses in jobs while medium-sized businesses saw a rise…

The Services industry saw the biggest drop in jobs…

Non-farm payrolls is expected (for now) to be +50k… we suspect this ADP print will see a reduction in that forecast.