Hiring at US companies rebounded in October: private sector employment increased by 42,000 jobs, according to the ADP Employment Report. “Private employers added jobs in October for the first time since July, but hiring was modest relative to what we reported earlier this year,” said Dr. Nela Richardson, chief economist, ADP. “Meanwhile, pay growth has been largely flat for more than a year, indicating that shifts in supply and demand are balanced.”

The Supreme Court appears skeptical that Trump tariffs are legal. Conservative and liberal justices sharply questioned Solicitor General D. John Sauer on the Trump administration’s method for enacting the tariffs, which critics say infringes on the power of Congress to tax.

US services sector economic activity picked up in October, rising to the strongest pace since February, based on the ISM Services Index. “The rebounds in both the Business Activity and New Orders indexes in October are positive signs, while the continued contraction in the Employment index shows a lack of confidence in the continued strength of the economy,” said Steve Miller, Chair of the ISM Services Business Survey Committee.

US economic activity edged up in October, expanding at a moderate pace, based on the S&P Global US Composite PMI, a survey-based GDP proxy. Growth was driven by firmer activity in the manufacturing and service sectors, reports S&P Global.

An ongoing labor shortage and tariffs on building materials continue to weigh heavily on the construction industry. Danushka Nanayakkara, assistant vice president for forecasting and analysis at the National Association of Home Builders, said that the industry has faced workforce challenges since the Great Recession. “We lost about a million workers at that time, and you don’t hear young people running to go into trade careers, so because of that, we have an aging labor force. We don’t have enough women working in the trades either. Immigrants make up about 30% of the construction force, so with the immigration crackdown, the labor supply will be affected going forward.”

US 10-year Treasury yield rose on Wednesday, closing at 4.16%, the highest close since Sep. 26:

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