ADP Reports 122,000 Jobs Created in May as Gold Struggles Below $4,500

The U.S. private sector created 122,000 jobs in May, according to payroll processor ADP, slightly exceeding the consensus forecast of 118,000 and marking an increase from 109,000 jobs in April. The resilient labor market is prompting analysts to suggest the Federal Reserve may need to prioritize inflation concerns. Gold prices fell 0.60% to $4,460.40 per ounce as expectations of potential Federal Reserve interest rate increases by year-end continue to weigh on the precious metal market.

ADP Reports 122,000 Jobs Created in May Across Eight Supersectors

ADP's report showed that private-sector employment rose by 122,000 in May, up from 109,000 in April. The data came in above the consensus estimate of 118,000 jobs.

"Hiring was more broad-based in May than we've seen in the last few years," said Dr. Nela Richardson, chief economist at ADP. "The labor market continues to show sustained momentum going into the summer hiring season."

The report indicated that eight out of 10 supersectors posted gains last month, and employers of all sizes were hiring.

Wage Growth Holds at 4.4% for Job-Stayers in May

The ADP report noted relatively steady wage inflation. Wages for workers who stayed in their jobs rose 4.4% annually last month, unchanged from April. Workers who changed jobs saw their annual wage increase 6.5%, down slightly from 6.6% in April.

Gold Trades at $4,460.40 Amid Federal Reserve Rate Expectations

Expectations that the Federal Reserve will have to raise interest rates by the end of the year continue to pressure the gold market, with prices struggling below $4,500 an ounce. Spot gold last traded at $4,460.40 an ounce, down 0.60% on the day.

FAQ

How many jobs did the private sector create in May according to ADP?

ADP reported that the U.S. private sector created 122,000 jobs in May, exceeding the consensus forecast of 118,000 and increasing from 109,000 jobs in April.

What did ADP report about wage growth in May?

ADP reported that wages for workers who stayed in their jobs rose 4.4% annually in May, unchanged from April. Workers who changed jobs saw their annual wage increase 6.5%, down slightly from 6.6% in April.