US NFP to grow by 175K in June - TDS

Research Team at TDS, suggests that as the Verizon workers strike unwinds , the monthly pace of payrolls growth will benefit from the addition of the 34K previously displaced workers, pushing total employment growth to 175K in June, a marked improvement from the dismal 38K in May.

Key Quotes

“Despite the rebound in headline employment growth, the overall tone of this report should be relatively weak, reflecting the slowdown in underlying labor market momentum relative to the brisk pace earlier this year. Wage growth should remain tepid at 2.5% y/y and the unemployment rate should tick modestly higher.”