May private payrolls and service sector activity reports may signal economic momentum ahead of Friday’s nonfarm payrolls release.
US investors will focus on ADP’s May private sector employment report, expected to show continued job growth. Weekly estimates from the firm suggest another solid month of hiring, reinforcing labor market resilience.
The ISM Services Index is also set for release, following a flash PMI that indicated a slight uptick in business activity. Both reports precede Friday’s nonfarm payrolls data, a key input for Federal Reserve policy decisions.
Markets will parse the figures for signs of economic strength or cooling, with implications for interest rate expectations.