US private sector adds 237,000 jobs in June: ADP

[NEW YORK] US private employers added 237,000 jobs in June, the biggest gain since December, suggesting further improvement in the jobs market which may allow the Federal Reserve to raise interest rates later this year, a report by a payrolls processor showed on Wednesday.

Economists surveyed by Reuters had forecast the ADP National Employment Report would show a gain of 218,000 jobs.

May private payroll gains were revised up to 203,000 from an originally reported 201,000 increase, which was the smallest rise since January 2014.

The report is jointly developed with Moody's Analytics.

The ADP figures come ahead of the US Labour Department's more comprehensive non-farm payrolls report on Thursday, which includes both public and private-sector employment.

Economists polled by Reuters are looking for total US employment to have grown by 230,000 jobs in June, down from May's 280,000 increase. The unemployment rate was forecast to slip to a seven-year low of 5.4 per cent from 5.5 per cent.

REUTERS