US private sector adds 109,000 jobs in April

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The private sector in the United States created 109,000 new jobs in April, exceeding analysts' expectations, according to data from the data processing agency ADP.

The result, as stated, indicates a stable but slowing labor market, reports Nezavisne novine.

The number of newly created jobs is higher than March's 61 thousand, as well as above the market consensus of 84 thousand, but the problem is that the employment trend is present only in some sectors.

The largest contribution to growth was made by the education and health sectors with 61 thousand new jobs, followed by trade, transport and utilities with 25 thousand, while construction added ten thousand jobs.

The financial sector recorded a growth of nine thousand, while professional and business services were the only major sector to register a decline.

Small businesses with fewer than 50 employees created 65,000 jobs, while large companies added 42,000, and the mid-sized segment showed weaker results.

Economists estimate that the labor market is at a stage where companies are avoiding layoffs, but at the same time cautiously hiring new workers.

Markets are now awaiting official employment data to be released by the Bureau of Labor Statistics (BLS) at the end of the week, with estimates pointing to growth of around 55,000 jobs and a stable unemployment rate of 4.3 percent.

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