Euro-Zone Wage Growth Set to Pick Up in Second Half, ECB Says

Euro-area pay growth is set to quicken in the second half of the year, supporting the European Central Bank’s view that interest rates can remain steady.

The ECB’s wage tracker, published Wednesday, predicts salaries will rise by an annual 2.7% in the fourth quarter after advancing 2.6% in the third. While far below the peak of more than 5% in 2024, that’s stronger than the projection for the first six months.