In September, the ADP National Employment Report showed a decline of 32,000 private-sector jobs — the largest drop in about 2½ years — defying expectations of gains. With the government now in shutdown, ADP’s data is receiving outsized attention, since the Bureau of Labor Statistics is temporarily unable to release its official monthly jobs report.
Since there will not be a release of the BLS Jobs Report because of the shutdown, the ADP Report is becoming more of the main focus for investors on market moving economic data. And, because the ADP Report came out weaker than estimates it is helping mortgage rates shift lower.
Cotality Chief Economist Dr. Selma Hepp said, “When shutdowns occur, investors typically flock to Treasury securities, which pushes their yields down and can result in slightly lower mortgage rates.”
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Por: jon iacono