At 8:30 am EST Friday morning, the monthly Jobs Report will be released. Currently, The Bloomberg Consensus is for an increase of 150k Jobs in May. Leading up to the Jobs Report, I will review my favorite employment indicators and see what estimates drawn from these indicators would predict. Today, I will review the Senior Loan Officer's Survey and the Temp Employment indicators.
The second indicator I will review this week is the growth rate in Temp Employment. Released in the Jobs Report, total Temporary Worker employment leads overall employment by 2-4 months. Average job growth predicted by this indicator is 150k-200k.
At first glance, the May Jobs Report could come in much higher than consensus and I will update my thoughts as the week progresses and the ADP Employment Report and other reports are released. But base on these two indicators, underlying Employment fundamentals are strong enough to expect an increase of 200k jobs this past month.