The Morning View from West End: June 6, 2018

  • June 6, 2018

BY: MARSHALL BARTLETT
Senior Vice President / Portfolio Manager
(615) 591-0611   mbartlett@argenttrust.com

Announced this morning, the latest report on unit labor costs indicates a 2.9% increase in the first quarter, slightly higher than expected. In addition, nonfarm productivity increased just 0.4% for the first quarter. Higher productivity typically helps to keep inflation in check when wage growth is accelerating. While we have yet to see wage growth accelerate to this point in the economic cycle, one wonders when that will change considering last week’s strong jobs report and reports that the number of job openings has exceeded the number of unemployed workers. For now, inflation remains in check and the Federal Reserve will likely continue with a measured pace of interest rate increases. In all, equity futures and yields are higher this morning heading into the market open.

This information has been prepared by Argent Trust to highlight issues which may be of interest to the recipient and is not intended as legal, investment or tax advice. You are urged to seek legal, tax and accounting counsel for your particular situation before acting on topics discussed here. At Argent Trust, we assist our clients in managing and enhancing their wealth. Please call us at 615.591.0044 with questions or to schedule a meeting. © 2018 Argent Financial.