Bonds & Rates
Home›Bonds & Rates›Economy›Markets weigh wage growth ahead of Friday’s non-farm p…
Markets weigh wage growth ahead of Friday’s non-farm payrolls
Expectations call for September non-farm payrolls to rise about 90K, while average hourly earnings are forecast to increase 0.3% for the month and 3.2% year over year.
Forexlive says this month’s non-farm payrolls market focus may shift from the headline jobs number to whether wage growth keeps inflation pressure elevated. The outlet notes inflation concerns are already running hot ahead of the report, after the prior day’s ISM manufacturing data showed a sharp jump in the prices paid component.
Ahead of Friday’s release, Forexlive points to expectations for September non-farm payrolls to rise by around 90K, with the unemployment rate holding at 4.1%. It also cites forecasts for average hourly earnings to rise 0.3% on the month and 3.2% year over year.
Forexlive argues that unless payrolls show a sizeable surprise, markets may treat wages as the key variable that determines whether inflation remains a problem. The briefing frames the jobs report as less about overall labor market strength and more about the inflation implications of pay growth.