Small non-farm payrolls data has come to hit the market again, with August's ADP employment increase only 54k, far below the market's previous expectation of 65k. Compared to the 104k from the previous month, the decline is quite noticeable.

This time, the performance of small non-farm payrolls is indeed a bit weak, and many are discussing whether the employment market is starting to cool down. In comparison, the market originally expected to see stronger numbers, but this outcome will likely have some impact on the subsequent large non-farm payrolls expectations.

It seems that small non-farm payrolls data is gaining more attention, as it can reflect some employment changes in advance. The below-expected result also sent some signals to the market; next, it depends on how the official data will follow up.