The most significant economic blow seems to have come from the medium-sized business sector. ADP reports that companies with 50 to 500 employees laid off 25K workers in total, while small and large businesses were recovering employment ( 63K and 129K, respectively).
The ADP data makes us wait with caution for the release of the official report on the US labor market on Friday, where markets expect to see employment growth of 1.5M. Weak data may make new easing from the Fed more relevant, further harming the dollar.
The FxPro Analyst Team