The Non-Farm Payroll (NFP) is reported monthly, this figure represents the total number of paid U.S. workers of any business, excluding farm employees, general government employees, private household employees, and employees of nonprofit organizations that provide assistance to individuals. The NFP report also includes estimates of the average work week and average weekly earnings of all non-farm employees.
The US NFP has remained in negative territory for all of 2008. While Wednesday’s ADP figures reported an increase of +40k, historically both employment figures are not correlated.
The US Unemployment Rate has steadily climbed from a y/y low of 4.5% to its current reading of 5.0%. If this indicator continues to increase, it will further impact Consumer Spending which accounts for more than two-thirds of the economy.
