Japan's Base Pay Grows Faster, Backing Case for BOJ Rate Hike
Growth in Japanese workers' base pay picked up, in a positive development for the Bank of Japan as authorities look for an opportunity to raise interest rates even as domestic and global economic risks mount.
Base salaries rose by 2.2% in April from a year ago, accelerating from the previous month's revised 1.4% gain, the labor ministry reported Thursday. Nominal wages increased 2.3%, compared with economists' consensus estimate of a 2.6% gain. A more stable measure of wage trends that avoids sampling problems and excludes bonuses and overtime showed wages for full-time workers climbed 2.5%, staying at or above 2% for a 20th consecutive month.
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Fed governor breaks ranks and says rate cuts could resume next month to prevent further cracks in the job market
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