Gains in hiring and a boost fromlower taxes are supporting consumer spending, the biggest part ofthe economy, at a time the headwinds from a trade war with Chinaare worsening. (Image: Shutterstock)

Companies in October added the highest number of workers ineight months to U.S. payrolls, topping estimates and signalingthe job market remains solid, according to datareleased Wednesday from the ADP Research Institute in Roseland, NewJersey.

Highlights of ADP employment (October)

  • Private payrolls increased by 227,000 (est. 187,000) afterrevised 218,000 advance in Sept. (prior 230,000)
  • Payrolls in goods-producing industries, which include buildersand manufacturers, rose 38,000 after a 48,000 rise
  • Service providers added 189,000 from payrolls after a 170,000gain

Related: What is monopsony, and how does it affectwages?

Key takeaways

The results, ahead of the monthly jobs report due from the LaborDepartment on Friday, are a positive sign for private payrolls. Thedata may reflect swings related to Hurricane Michael during themonth and the aftermath of Hurricane Florence that struck inSeptember. Even so, demand for labor was fairly broad-based acrossindustries including manufacturing, construction, trade andtransportation, leisure, and professional services, the ADP reportshowed.

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