US stocks extend losses after ADP report
New York, Sep 1 (IANS) US stocks traded lower as investors digested the country’s better-than-expected ADP employment report.
The Dow Jones Industrial Average on Wednesday fell 81.74 points, or 0.44 per cent, to 18,372.56, Xinhua news agency reported.
The S&P 500 lost 9.92 points, or 0. 46 per cent, to 2,166.20. The Nasdaq Composite Index decreased 19. 28 points, or 0.37 per cent, to 5,203.71.
US private sector employment increased by 177,000 jobs from July to August, above the market consensus of 175,000, according to the August ADP National Employment Report on Wednesday.
The ADP figure is watched closely as a pre-indicator for the non-farm payrolls report due on Friday.
Friday’s non-farm payrolls report has taken on greater importance since several Federal Reserve members opened the door to hiking interest rates in September at the Jackson Hole symposium last week.
If the US labor market is robust enough, analysts said it is possible for the US central bank to hike interest rates as soon as next month.
On Tuesday, US stocks retreated as investors assessed the timing of the next Fed interest rate hike.