US Unit Labor Costs rise 4.7% in Q1 vs. 3.2% expected

• Unit Labor Costs rose more than expected in the first quarter.
• US Dollar Index stays below 106.00 after the data.

Unit Labor Costs in the nonfarm business sector increased 4.7% in the first quarter of 2024, the US Bureau of Labor Statistics (BLS) reported on Thursday. This reading followed the no change in the previous quarter (revised from +0.4%) and came in above the market expectation of 3.2%.

"Nonfarm business sector labor productivity increased 0.3% in the first quarter of 2024, as output increased 1.3% and hours worked increased 1%" the BLS noted in its press release.

Market reaction

These data don't seem to be having a significant impact on the USD's valuation against its major rivals. At the time of press, the US Dollar Index was up 0.07% on the day at 105.70.