The ADP Report Is Better Than Expected

Reuters reported this morning that private sector job losses slowed slightly in January, ADP Employer Services said on Wednesday in a report that came in slightly below economists’ expectations.

ADP said private employers cut 522,000 jobs in January versus a revised 659,000 jobs lost in December. The December job cuts were originally reported at 693,000.

This is good news for the economy but not necessarily good news for interest rates although mortgage-backed securities are currently trading to the upside by 9 basis points.