US wage growth beats expectations

Wage growth since the Great Recession has remained fairly low, hovering around just 2%. This is most likely not high enough to support the Fed’s stated inflation target of 2% year-over-year.

Over the last few months, wage growth has happened at a somewhat faster rate than this, reaching a post-crisis high of 2.5% in December and January. That rate slowed down last month, however, with February’s wage growth coming in at just 2.2% since the previous year.

According to the March jobs report, wages grew 2.3% over the last year, a faster rate of growth than in February and beating expectations for 2.2% growth:

NOW WATCH: This $99 device turns your phone into a 3D printer

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.