Yellen Wage Signals Showing Slack May Be Missing Cost Speedup

Federal Reserve Chair Janet Yellen says wage gains remain slow and that’s a sign there’s plenty of slack in the labor market. Some Wall Street economists disagree.

Yellen has cited three gauges showing hourly earnings, employment costs and compensation in arguing that salary increases are muted. Yet economists including Torsten Slok of Deutsche Bank AG say other data are better indicators of where pay is headed: higher.