( GMGMQ) bankruptcy filing is in the rearview mirror, traders are slowly turning their attention back to economic numbers for hints of a recovery in the data.
Those still rubbernecking the GM wreck will get whiplash Wednesday in the form of the latest
employment report, which can sometimes have a strong effect on the market. The report appears two days before the Labor Department's own nonfarm payrolls report.
Economists expect the ADP report, which will be released Wednesday at 8:15 a.m. EDT, to show a decline of 525,000 jobs in May after a 491,000 drop in April. By comparison, the Labor Department's report, due Friday, should show a loss of 550,000 jobs last month after a better-than-expected 439,000 slide in April.
Some market observers argue that the
of how the Labor Department's own numbers will be, but the fact remains that the U.S. economy is still losing jobs at a remarkable clip. Since the recession began in December 2007, about 5.7 million jobs have been lost, according to government figures from April. That number likely crossed the 6 million mark last month.
Also on the economic docket, the Institute for Supply Management will release its services index at 10 a.m., with economists expecting a reading of 45 in May after an impressive increase to 43.7 in April. Still, any reading below 50 connotes a contraction in services.
On Monday, the ISM's manufacturing index rose to 42.8, slightly more than expected and up from 40.1 in April, but it still indicating a downturn in the manufacturing sector.
Also at 10 a.m., the April read on factory orders will be released, with economists expecting a 0.9% rise after a decline of 0.9% in March.
In other economic news,
Chairman Ben Bernanke will appear before the House of Representatives' budget committee to deliver testimony on current economic and financial conditions, as well as the federal budget.
The earnings calendar is light Wednesday, with
( JOYG) set to report ahead of the opening bell.