US private hiring likely to accelerate further in summer

Notwithstanding its admittedly spotty track record in predicting the official government series,  ADP Employer Services' tally of private jobs created in July probably will receive considerable attention from market participants. 

With real business conditions, as measured by the Aruoba-Diebold-Scotti Business Conditions Index, moving back above normal for the first time since last December, hiring likely accelerated for a fourth consecutive month. 

"Indeed, a solid 265K rise is expected in the ADP private payroll series, the largest gain since the end of 2014", says Societe Generale. 

Small business employing fewer than 50 workers accounted for a little over half of the 1.22 million jobs added over the first six months of 2015 and the trend is expected to continue with the July report. Large businesses, with 500 or more positions, are once again likely to post the fewest worker additions.