Economic Headlines · US Jobs – ADP; Chicago PMI; European inflation

• Economic Headlines · US Jobs – ADP - US labor markets continue to see only tepid improvement; next up will be Thurs’ jobless claims and Fri’s June BLS reading – the ADP 13K private sector payroll increase forecast for the month of June was below the current consensus for this Fri’s BLS number (of +110K). Per ADP: "Nonfarm private employment increased 13,000 from May to June 2010 on a seasonally adjusted basis, according to the ADP National Employment Report. June's rise in private employment was the fifth consecutive monthly gain. However, over these five months the increases have averaged a modest 34,000. Recent ADP Report data suggest that, following steady improvement through April, private employment may have decelerated heading into the summer” ·
• Chicago PMI – came in line with expectations ·
• European inflation - Euro area HICP was out at 1.4%oya in June (JPMorgan 1.4%, Consensus 1.5%), after 1.6%oya in May. The two tenths decline was caused by the fading base effect in the energy inflation component, which moved down in yearly terms, after last June's sharp increase in energy prices. There are no details available with the release, but the information that we have from the national CPI releases in Germany, Italy and Belgium suggests that core inflation in the Euro area may have declined very slightly to 0.8%oya in June, from 0.9%oya in May