US: Real average hourly earnings decline by 0.4% in July

• Real average hourly earnings in the US decreased by 0.4% on a monthly basis in July.
• US Dollar Index dropped below 93.50 after this report.

Real average hourly earnings for all employees in the US declined by 0.4% from June to July (seasonally adjusted), the US Bureau of Labor Statistics reported on Wednesday.

Additional takeaways

"This result stems from an increase of 0.2% in average hourly earnings being more than offset by an increase of 0.6% in the Consumer Price Index for All Urban Consumers (CPI-U)."

"Real average weekly earnings decreased 0.6% over the month due to the change in real average hourly earnings combined with a 0.3% decrease in the average workweek."  

"Real average hourly earnings increased 3.7%, seasonally adjusted, from July 2019 to July 2020."

Market reaction

The US Dollar Index edged lower in the last minutes and was last seen losing 0.2% on a daily basis at 93.45.