Second-quarter U.S. productivity was revised lower to a -0.6% earlier Thursday. Declining jobless claims have increased hours worked, but wage growth and lower profit margins have negatively impacted overall output. Productivity has been on a losing streak, declining each quarter since the fourth quarter of 2015 and -0.4% year-over-year.
U.S. jobless claims
The data points present conflicting arguments on the Fed’s decision to raise interest rates. Estimates from the CME group of where rates will be after the remaining FOMC meetings in 2016 have moved slightly more in favor of no rate hike