U.S. Companies Add Most Workers in Seven Months, ADP Data Show
Companies added more workers than forecast to U.S. payrolls in October, indicating hiring snapped back after hurricanes Harvey and Irma, according to data released Wednesday from the ADP Research Institute in Roseland, New Jersey. he report indicates resilience in the labor market and is consistent with other data that show the economy is recovering from the tropical storms. Employment is expanding as businesses remain optimistic about the outlook, at the same time employers face the challenge of finding skilled workers as the job market is tightening. The ADP results are also a sign that the government will report Friday a rebound in private payrolls for October. The surge in construction employment probably shows greater demand for labor to rebuild homes and businesses in the hurricane-stricken areas of Texas and Florida.
U.K. Hints at Compromises on Brexit Bill as Date Set for Talks
The U.K. signaled it’s preparing to compromise over money in its stand-off with the European Union, as a new round of Brexit talks offered the chance to break the deadlock. The deal on the divorce terms will probably be better for the remaining 27 EU countries than for Britain on the financial settlement, Brexit Secretary David Davis said on Tuesday. The first opportunity for negotiations to resume will be Nov. 9 for a two-day session, according to a joint statement by the U.K. government and the European Commission. “The withdrawal agreement, on balance, will probably favor the union in terms of things like money and so on,” Davis told lawmakers in London. “Whereas the future relationship will favor both sides and will be important to both of us.”
BOJ can’t exit stimulus when inflation below 1 percent – BOJ governor candidate Ito
The Bank of Japan likely won’t be able to exit its massive stimulus program while inflation is hovering below 1 percent, Takatoshi Ito, an academic who is a potential candidate to become the next BOJ governor, said on Wednesday. “What’s important is for inflation to accelerate, which would give (the BOJ) quite some flexibility in guiding monetary policy,” Ito, a Columbia University professor, told a seminar in Tokyo. The BOJ has already laid the groundwork for normalizing monetary policy by revamping its policy framework last September and gradually slowing its bond purchases, though raising its yield targets would be some time away, he said.