What is ADP Non-Farm Employment Change?
The ADP Nonfarm Employment Change is a report published by the ADP Research Institute in the United States. It measures the monthly change in private-sector employment, excluding the agricultural sector as well as the agriculture industry and government. This report is often used as a preliminary indicator for the widely watched Nonfarm Payrolls report released by the U.S. Bureau of Labor Statistics.
The ADP Nonfarm Employment Change collects anonymized payroll data from approximately 400,000 businesses in the United States, covering around 24 million employees. This data is processed to estimate the monthly change in private-sector nonfarm employment. ADP uses statistical models to adjust the data for seasonal variations, industry trends, and other factors, providing an indication of the overall condition and direction of the U.S. private-sector labor market.
Impact on Gold & Gold Prices
If the ADP Non-Farm Employment Change report is higher, it usually strengthens the US dollar due to expectations of higher interest rates and a stable economy. A higher report tends to put downward pressure on gold prices.
