US NFP preview: We expect a rebound to 162K - Wells Fargo

Analysts from Wells Fargo, forecast that on Friday, the NFP report will show a gain of 162K, considerably above the 38.000 of the previous month.

Key Quotes:

“Nonfarm employment disappointed in May, as payrolls rose by just 38,000 and the prior two months of data were revised down. While a softer report was expected due to the Verizon strike, which kept roughly 35,000 telecommunications workers off the payrolls, the weakness extended beyond the information sector.”

“In light of last month’s surprisingly weak report, policymakers look ahead to June’s employment release to see whether the recent slowing in job growth is transitory.”

“We expect job growth rebounded in June, with nonfarm payrolls rising by 162,000 and the unemployment rate holding steady at 4.7 percent.”