US NFP expected to have increased by 170,000 in May - RBS

Research Team at RBS, suggests that their forecast looks for a modest pickup in the pace of US employment growth versus April.

Key Quotes

“Both overall and private payrolls will be reduced by nearly 40,000 as a result of striking Verizon workers (a "special factor" the Fed will look through). Taking that drag into account, we look for payrolls in May to have increased by 170,000 (i.e. excluding the Verizon strike, our forecast would be +210,000), and we look for private payrolls to have advanced by +160,000 (i.e. +200,000 ex-Verizon). While these results would arguably meet the threshold for action in June, policymakers may still choose to wait for more information on inflation trends and the outcome of the UK vote before acting.”