Higher wages will suggest that U.S. recovery will have the fuel to continue into the second quarter, and investor sentiment should perk up markedly as growth and earnings will be revised higher.
Furthermore, real average hourly earnings rose both on a month-over-month and year-over-year basis in February, reflected in prior employment report. If average hourly wages — which last came in at $22.40 — can climb by just one thin dime to $22.50, this would translate to 2.7 percent annual wage growth and place markets in an overall ebullient mood.
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