US Q4 non-farm productivity +1.9% vs +1.5% expected

US productivity for Q4

• Prior was +2.2% (revised to +1.8%)
• Unit labor costs +2.0% vs +1.7% expected
• Prior unit labor costs +0.9% (revised to +1.6%)
• The annual increase in US productivity was the highest since 2010
• Hourly compensation +3.9% in Q4 vs +3.5% Q3 (annualized)

The downward revision in Q3 productivity erases the upside surprise in Q4. This data was delayed due to the US government shutdown.