The ADP employment report for June was released today at 14:15 CEST. As usual, the report was highly anticipated as it is one of the final hints ahead of the official NFP report for June which is due out tomorrow at 2:30pm CEST. The market expected ADP data to show an increase of 230K jobs. While ADP has had a somewhat poor track record of predicting NFP data in the past, it must be said that the readings of the two over the past three months have been pretty consistent.
The actual ADP data for the month of June turned out to be a huge positive surprise and showed a job gain of 497,000! The release triggered a backlash in the US dollar market, with EURUSD down around 0.2% in the first few minutes after the release. Stocks were mixed as European index futures rose while US index futures fell. Gold fell about 0.4% amid a stronger dollar and a jump in yields (two-year US yields were up more than 5%!)
EURUSD Retreats Previous Gains After Higher ADP Data! The pair is now trading slightly on the day. Source: xStation5
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