Private sector added 98,000 jobs in June, below expectations, ADP says

• June's 98,000 job gain missed expectations of 118,000 and declined from the prior month's unrevised 122,000 payrolls
• ADP's chief economist noted that workers are taking longer to find employment while certain industries face labor supply constraints
• Education and health services led hiring activity during the month

Summary: Private Sector Job Growth Misses Expectations in June

Key Figures:

• Private sector added 98,000 jobs in June 2026, according to ADP National Employment Report
• Result fell short of economist expectations of 118,000 jobs
• Down from prior month's unrevised figure of 122,000 payrolls

Main Findings:

The ADP report, released Wednesday by payroll processing firm ADP, revealed a slowdown in private sector job creation. Education and health services led hiring activity during the month.

Market Implications:

ADP Chief Economist Nela Richardson characterized the data as reflecting both supply and demand dynamics in the labor market. She noted that job seekers are experiencing longer search periods, while certain industries face labor supply constraints. The net effect is a deceleration in overall job creation.

Context:

This employment data comes as Bank of America CEO Brian Moynihan predicted a stronger U.S. economy despite expectations for three Federal Reserve rate hikes. The softer-than-expected jobs number could influence Fed policy decisions and market sentiment regarding the pace of economic growth.

The declining trend from 122,000 to 98,000 private sector jobs over consecutive months suggests potential cooling in the labor market, which may impact investor expectations for monetary policy, wage growth, and overall economic momentum. This report serves as a preview to the official government employment data, making it a closely watched indicator for traders and policymakers.

Note: This was reported as breaking news, suggesting potential for revisions or additional details.