Economics
Storm Effects or Not, 3% U.S. Pay Gains Will Be the New Normal
- Jobs report to show earnings likely hit milestone in October
- Faster gains could further unsettle markets, analysts say
A man looks over debris after Hurricane Michael hit in Mexico Beach, Florida on Oct. 12, 2018.
Photographer: Zack Wittman/BloombergThis article is for subscribers only.
Investors likely need to get accustomed to a new normal in U.S. pay gains even if this week’s milestone in wage growth will partly stem from hurricane-related distortions.
Analysts project average hourly earnings in October rose 3.1 percent from a year earlier, which would be the biggest gain in nearly a decade and the first breaching of 3 percent since April 2009.