A report released by payroll processor ADP on Thursday showed private sector employment in the U.S. increased by much less than expected in the month of August.
ADP said private sector employment rose by 99,000 jobs in August after climbing by a downwardly revised 111,000 jobs in July.
Economists had expected private sector employment to jump by 145,000 jobs compared to the addition of 122,000 jobs originally reported for the previous month.
Meanwhile, the Labor Department released a report on Thursday showing a modest decrease by first-time claims for U.S. unemployment benefits in the week ended August 31st.
The report said initial jobless claims dipped to 227,000, a decrease of 5,000 from the previous week’s revised level of 232,000.
Economists had expected jobless claims to edge down to 230,000 from the 231,000 originally reported for the previous week.
The Labor Department said the less volatile four-week moving average also slipped to 230,000, a decrease of 1,750 from the previous week’s revised average of 231,750.
A separate report released by the Labor Department on Thursday showed labor productivity in U.S. jumped by more than previously estimated in the second quarter, while unit labor costs rose by less than previously estimated.
The Labor Department said labor productivity shot up by 2.5 percent in the second quarter compared to the previously reported 2.3 percent surge. Economists expected the pace of productivity growth to be unrevised.
The upwardly revised productivity growth in the second quarter reflects a significant acceleration compared to the 0.4 percent increase in the first quarter.
Meanwhile, the report said unit labor costs rose by 0.4 percent in the second quarter compared to the previously reported 0.9 percent advance. Economists had expected the pace of labor cost growth to be unrevised.
The downwardly revised increase in labor cost growth in the second quarter compares to the 3.8 percent spike seen in the first quarter.
At 10 am ET, the Institute for Supply Management is scheduled to release its report on service sector activity in the month of August.
The ISM’s services PMI is expected to edge down to 51.1 in August from 51.4 in July, but a reading above would still indicate growth.
The Energy Information Administration is due to release its report on oil inventories in the week ended August 30th at 11 am ET.
Crude oil inventories are expected to slip by 0.9 million barrels after dipping by 0.8 million barrels in the previous week.
Also at 11 am ET, the Treasury Department is schedule to announce the details of this month’s auction of three-year and ten-year notes and thirty-year bonds.