Big Miss on Early Jobs Report

Just out this morning, the ADP private payroll report showed that businesses added 167k new jobs in July and that was a far cry from the 1.2M that analysts expected. But, the 2.37M total for June was revised to 4.31M. The BLS will issue its next, monthly report on Friday and a jobs gain of about 1.5M is anticipated.

In other news, new Mortgage Applications fell 5.1% for the week ending July 31st after the prior week’s dip of 0.8%. We also learned the nation’s trade imbalance became less negative by moving to minus $50.7B from minus $54.6B; pre-release estimates were looking for minus $50.2B.

Equity markets are poised to open well in the green after a positive report showed that Europe’s Composite PMI climbed to 54.9, its highest level in over two years. Treasuries are selling off to a degree and the 3/8 point slide in the Ten-Year’s price has moved its yield up to around 0.54%. Gold continues to shine and this morning’s $18 gain has moved its price to around $2,038. Crude oil is up almost a dollar-and-a-half to just over $43. A little later this morning, Markit will report its Composite and Services PMI and the ISM will follow with its Services Index. No market moving news is expected.