Eurozone wage growth picked up last month, prompting speculation from economists that the European Central Bank could struggle to cut interest rates as much as investors expect.
A wage tracker by recruitment website Indeed showed salaries for jobs advertised rose 4.2 per cent in the year to June, accelerating to the fastest pace for a year, after hovering around 3.5 per cent since the start of 2024.
“These data may well turn out to challenge the ECB’s inflation forecast,” said Tomasz Wieladek, an economist at investor T Rowe Price.
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