Japan Base Pay Jumps Most Since 1993 in Positive Signal for BOJ
- Base wages rise 2.5%, while underlying trend shows 2.7% gain
- Latest data keeps door open to near-term interest rate hike
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Japanese workers’ base salaries jumped the most since 1993, an encouraging sign that the underlying pay trend may start to support consumption and enable the Bank of Japan to raise interest rates again.
Base pay increased 2.5% in May from a year ago, the fastest growth since 1993, outpacing the 1.9% gain in the headline figure, the labor ministry reported Monday.