ADP payrolls miss at 98,000; Fed labor signal softens before NFP

98,000 private-sector jobs were added in June, according to the ADP National Employment Report, compared with 122,000 in May and a 110,000 economist consensus cited by Dow Jones/Wall Street Journal market coverage. The softer print arrived two days before the official nonfarm payrolls report, making labor-market momentum the first macro test for July risk assets.

The release matters because ADP is not a one-for-one forecast of the Bureau of Labor Statistics report, but it is one of the last high-frequency labor readings before the Fed gets the government payroll and unemployment data. CNBC's RSS item timestamped 2026-07-01T12:38:54Z framed the result as weaker than expected, while ADP's own National Employment Report page identifies the series as an independent private-sector employment measure.

For markets, the number is a rates story first. A June gain below consensus points to slower hiring at a time when investors are weighing whether the Fed can keep policy restrictive without adding pressure to employment. The May ADP report had shown 122,000 jobs and 4.4% annual pay growth; the June headline therefore signals deceleration from the prior month, not a collapse in payroll formation.

The next check is the government jobs report. Traders will compare the BLS payroll gain, unemployment rate, average hourly earnings and revisions against the ADP slowdown. A second soft reading would strengthen the labor-cooling case; a firmer official print would limit the signal from the private-payroll miss.

Sources: ADP National Employment Report release, CNBC RSS source item.

Not investment advice. Verify all figures with primary sources before acting.