US: Downside risks to March NFP – TDS

Analysts at TD Securities point out that the US ADP employment report surprised expectations to the downside with a fairly weak showing in March, as private-sector jobs only increased by 129k during the month (vs consensus at 175k).

Key Quotes

“Surprisingly, the prior month's ADP print was revised up 14k to 197k, despite the paltry nonfarm payroll number for February. ADP's weak March read was concentrated in goods (-6k) whereas services were firmer at 135k. Given the March disappointment, the report suggests downside risk for the March payrolls report published on Friday.”