ADP report point to soft nonfarm payrolls - ANZ

Analysts at ANZ explained that the ADP employment came in soft.

Key Quotes:

"...potentially pointing to a soft non-farm payrolls release tonight."

"The market expects NFP to add 178k jobs tomorrow, well above the 92k pace needed to keep unemployment at 4.5% over the next 12 months."

"Initial jobless claims rose to 248k but are low by historical standards, suggesting that the US labour market continues to tighten, albeit at a moderating pace. June non-manufacturing ISM beat expectations, rising with underlying components generally upbeat."