It was small businesses to the rescue- again!  According to ADP, 59.6% of all jobs created last month were in the private sector.  Overall, the news points to a sluggish jobs market. It also highlights a frustration of Main Street, and that’s the lack of job creation by the largest employers.

Larger employers are not hiring, while also announcing job cuts, and either moving or building new plants abroad could tilt the way we do business as the masses are ready to force rules that essentially limit growth and profits.

In additional to slack job growth, large businesses aren’t investing in factories.  While overall factory orders were higher, the gauge on business was unchanged again.

Some economists are pointing to the ISM Non-Manufacturing report that shows a rosier picture of the economy as being the real proxy.

• Headline 55.7 from 54.5 (consensus 54.7)
• New Orders 56.7 from 59.9
• Prices Paid 53.4 from 49.1
• Employment 53.0 from 50.3

I like the resolve of the market to this point, but there is no reason to believe there will be a late surge so let’s keep our powder dry.