“To excite the dollar and move the needle for the Fed to raise rates at a quicker pace, wage growth would need to move above 3 percent,” he added. Average hourly earnings edged up four cents, or 0.1 percent, to $26.75 in February, a slowdown from the 0.3 percent rise in January. That lowered the year-on-year increase in average hourly earnings to 2.6 percent from 2.8 percent in January.
Dollar tumbles, hurt by benign wage inflation, tariff action
The dollar fell on Monday, pressured by data showing persistently low wages that will likely constrain the U.S. Federal Reserve from raising interest rates more than three times this year. Friday’s non-farm payrolls report showed U.S. job gains for February were much higher than expected, but wage inflation, a closely watched indicator by the Fed, remained subdued. “Mixed messages on America’s labour market last week largely offset and, importantly, failed to move the dial in favour of faster rate hikes from the Fed,” said Joe Manimbo, senior market analyst at Western Union Business Solutions in Washington.
Canadian CPI rose 2.5%
The Consumer Price Index (CPI) rose 2.5% on a year-over-year…
UK Public Sector Net Borrowing was £39.4 billion
Public sector net borrowing (excluding public sector banks) in the…
Eurozone Current Account a surplus of €22 billion
In May 2018 the current account of the euro area…
German Producer prices in June 2018: +3.0% on June 2017
In June 2018 the index of producer prices for industrial…