Evidence that the labor market is softening continued to pile up Wednesday, as private-sector hiring slowed in July for the fourth straight month.
The ADP National Employment Report showed that private-sector employers added 122,000 jobs in July, below its reported job growth for June. Economists surveyed by The Wall Street Journal and Dow Jones Newswires were expecting private employers to add 150,000 jobs in July.
The labor market has been a key driver of the economy since the pandemic, as strong job and wage growth helped keep the economy out of recession in 2023. The strength in the job market continued into 2024. Still, recent reports have begun signaling employers were hiring less, including June data that showed the lowest number of job openings since the pandemic.
Investors will be watching to see if the trend continues with the release of the July payroll report due out Friday.
The ADP report also showed that wages were up 4.8% …