U.S. Economic News
August 5, 2020
U.S. Economic Indicators
The ADP Employment Report shows that private-sector employment increased by 167,000 jobs in July, well below consensus expectations of 1.9 million. The services sector gained 166,000 jobs, while the goods-producing sector gained 1,000 jobs. ADP Report
The U.S. trade deficit decreased from $54.8 billion (revised) in May to $50.7 billion in June. The goods deficit fell by $4.0 billion while the services surplus rose by $0.1 billion. Census Bureau Report
The ISM Services PMI rose 1.0 point to 58.1 in July, indicating growth in the services sector for the second straight month. The New Orders Index increased 6.1 points to 67.7, while the Employment Index fell 1.0 point to 42.1. ISM Report
U.S. News
Bloomberg reports that a second round of layoffs looms for workers at small businesses where Paycheck Protection Program (PPP) funds are starting to run out. A recent poll by Cornell University shows that about one in four workers hired back due to PPP were told by their employer that they could be laid off again, revealing the predicament of many small businesses in the absence of additional aid or rapid recovery of business activity. Bloomberg