U.S. Inflation Pressures Further Eased as Wage Growth Slows to Four-Year Low

BlockBeats News, December 10th. On Wednesday, the U.S. Bureau of Labor Statistics data showed that the annual growth rate of labor costs in the third quarter slowed to 3.5%, the slowest pace in four years, highlighting a continued cooling of the job market, which helps alleviate inflationary pressure; quarter-on-quarter growth was 0.8%.

This data reinforces signs of weakening momentum in the current job market, with many employers slowing down their hiring pace and some companies even starting to lay off employees. For the Federal Reserve, which is expected to announce a rate cut later on, the slowdown in labor cost growth is seen as a positive signal for curbing inflation.

The previous day's data showed a decrease in business hiring and an increase in layoffs to the highest level since early 2023; meanwhile, the voluntary quit rate fell to the lowest level since 2020, reflecting a weakened confidence among workers in job-hopping prospects. At the same time, wage growth has also slowed, with a particularly noticeable pullback in the salaries of younger employees. (Jin10)