Private nonfarm payroll employment increased by 157,000 from May to June on a seasonally adjusted basis, up from a disappointing May gain of just 36,000, according to the latest ADP National Employment Report. Analysts had only expected payrolls to grow by about 70,000.

Strong performance in the service, goods-producing, and manufacturing sectors contributed to the unexpectedly large increase, as did the end of short-term transitory factors, such as layoffs related to auto manufacturing plant shutdowns. The service sector gained 130,000 jobs in June, nearly three times faster than it rose in May. Employment in the manufacturing and goods-producing sectors was also strong, increasing by 24,000 and 27,000, respectively.