- New Zealand: International Trade (Feb)
- Korea: Consumer Survey Index (Mar); Philippines: Public Finance (Jan)
- Weekly: **Initial Claims Data Revisions Completed**
- Euro area: Flash Consumer Confidence Indicator (Mar)
- US: New Residential Sales (Feb)
- Belgium: Business Survey (Mar)
- Uruguay: GDP (Q4)
- more updates...
Economy in Brief
Kansas City Federal Reserve Factory Index Strengthens; Expectations Surge
The Kansas City Fed reported that its index of regional manufacturing sector business activity increased to 20 during March...
U.S. Initial Unemployment Insurance Claims Rise
Initial claims for unemployment insurance increased to 258,000 (-3.0% y/y) during the week ended March 18...
U.K. Retail Looks Less Bulletproof
For the most part, the assessments embodied in the March survey from the UK's CBI are being taken as being upbeat...
U.S. Existing Home Sales Fall to Five-Month Low; Inventory Remains Tight
Sales of existing single-family homes declined 3.7% (+5.4% y/y) to 5.480 million units (AR) during February...
U.S. FHFA House Price Index Momentum Diminishes
The FHFA U.S. house price index remained unchanged during January following a 0.4% December increase ...
Japan's Trade Trends Turn Sharply Higher
Japan has logged its largest current account surplus since April 2010...
by Tom Moeller November 3, 2016
Growth in nonfarm output per hour during Q3'16 improved to 3.1% (0.0% y/y) after a 0.2% Q2 decline, revised from -0.6%. A 1.8% increase had been expected in the Action Economics Forecast Survey. It was the strongest rise in two years. Output rose 3.4% (1.6% y/y) while hours worked lengthened 0.3% (1.7% y/y). The gain in productivity was accompanied by a 3.4% increase in compensation, which was weaker than the 3.7% Q2 gain. The 2.3% y/y rise left it slightly below the gains during all of 2015 and 2014. Unit labor costs edged 0.3% higher (2.3% y/y), down sharply from the 3.9% Q2 jump. A 1.2% rise had been expected.
In the manufacturing sector, productivity improved 1.0% (0.2% y/y) after a 0.5% decline. So far this year, growth has averaged 0.6%, up slightly versus the last few years. Compensation improved 3.2% (3.1% y/y) following a 6.2% jump. That increase lifted unit labor costs by 2.2% (2.9% y/y), roughly in line with the last two years.
The productivity & cost figures are available in Haver's USECON database. The expectations figures are from the Action Economics Forecast Survey and are found in the AS1REPNA database.
U.S. Productivity Growth Flowing Downstream from the Federal Reserve Bank of Dallas is available here.
|Productivity & Costs (SAAR, %)||Q3'16||Q2'16||Q1'16||Q3'16 Y/Y||2015||2014||2013|
|Nonfarm Business Sector|
|Output per Hour (Productivity)||3.1||-0.2||-0.6||0.0||0.9||0.8||0.3|
|Compensation per Hour||3.4||3.7||-0.9||2.3||2.9||2.8||1.2|
|Unit Labor Costs||0.3||3.9||-0.3||2.3||2.0||2.0||0.9|
|Output per Hour (Productivity)||1.0||-0.5||1.4||0.2||0.3||0.1||0.2|
|Compensation per Hour||3.2||6.2||-4.8||3.1||2.5||2.8||0.2|
|Unit Labor Costs||2.2||6.8||-6.1||2.9||2.2||2.7||0.0|