American Goods-Producers Suffer Biggest Job Loss In 2 Years, Services Employment Soars

The US economy added 183k jobs in January according to ADP – the biggest addition since October. Additionally, December’s +122k print was revised dramatically higher to +176k…

Source: Bloomberg

… above January’s print was above all analysts’ expectations.

Source: Bloomberg

But…

„We had a strong start to 2025 but it masked a dichotomy in the labor market. Consumer-facing industries drove hiring, while job growth was weaker in business services and production,” said Nela Richardson, Chief Economist, ADP.

With Goods-producers seeing 6k job losses (the worst since Nov 2023) as Services soared 190k (the most since July 2023)

Source: Bloomberg

With Manufacturing hit hard once again…

Source: Bloomberg

Additionally, for the first time since March 2023, Job-Stayers saw wage growth accelerating…

Source: Bloomberg

So, does Powell care about manufacturing jobs or just all jobs? None of this signals a more dovish 'data dependent’ Fed will move soon.