Real Compensation Growth Highest in 7 Years
According to today's report from the BLS, hourly compensation increased 5.9% from the third quarter of 2006 to the third quarter of 2007, the largest four-quarter gain since an increase of 6.7% from the fourth quarter of 1999 to the fourth quarter of 2000. On an inflation-adjusted basis, real hourly compensation in the nonfarm business sector increased by 3.3% during the same period, matching the third quarter of 2003. The 3.3% growth was the highest since the third quarter of 2000, and is almost 3 times the average of 1.35% since 2001.
Stocks rally on strong economic data: DJIA is up by 200 points today.