Private payroll growth slowed to 122,000 in July, less than expected, ADP says [Video]

Private job growth slowed further in July while the pace of wage gains hit a three-year low, payrolls processing firm ADP reported Wednesday.

Companies added just 122,000 jobs on the month, the slowest pace since January and below the upwardly revised 155,000 in June. Economists surveyed by Dow Jones had been looking for a gain of 150,000.

ADP also reported that wages for those who stayed in their jobs increased 4.8% from a year ago, the smallest rise since July 2021 and down 0.1 percentage point from June.

“With wage growth abating, the labor market is playing along with the Federal Reserve’s effort to slow inflation,” said ADP’s chief economist, Nela Richardson. “If inflation goes back up, it won’t be because of labor.”

Futures tied to major stock indexes added to gains following the report while Treasury yields fell.

There was more positive inflation news Wednesday, as the Labor Department’s …