USD: US Q3 productivity +3.6% beats 2.8% forecast, unit labor costs -0.7%

The source reports no currency price move, pip figure or technical levels for this release. US nonfarm productivity rose 3.6% in the third quarter, well above the 2.8% consensus and accelerating sharply from the prior reading of +1.4%. Unit labor costs fell 0.7%, against expectations for a 0.6% increase, and reversed the prior quarter's +1.2% gain. The figures come from the US Bureau of Labor Statistics' quarterly Productivity and Costs report. On the surface, stronger output per hour combined with falling labor costs points to disinflationary pressure, which would typically matter for Federal Reserve rate expectations. However, the data is largely ignored by policymakers because it is notoriously volatile and hard to measure. For USD traders, the beat on productivity and the miss on unit labor costs are notable, but the report is unlikely to shift the policy outlook on its own, which limits its expected impact on dollar pairs.