August ADP Jobs Report Shows Unexpected Cooling

The ADP jobs report for August showed an increase of 177,000 jobs, falling short of the expected 200,000 and a significant drop from July's revised figure of 371,000. Annual pay growth also slowed to 5.9% from 6.2% in July. The report suggests a shift towards more sustainable job and pay growth as the economy recovers from the pandemic, with the service sector leading job gains and manufacturing adding 12,000 jobs.