US Unit Labour Costs QoQ Prel (Q3) Q/Q -1.9% vs. Exp. 1% (Prev. -2.9%, Rev. 1%)

US Unit Labour Costs QoQ Prel (Q3) Q/Q -1.9% vs. Exp. 1% (Prev. -2.9%, Rev. 1%)

The preliminary reading for US unit labor costs shows a surprising decline of -1.9%, significantly below the expected 1% increase. This decrease, combined with the prior revision, suggests a shift in labor cost dynamics that could influence inflation expectations and Fed policy, potentially reinforcing the narrative for keeping rates steady in the near term.