preview of the u.s. employment situation for november...

10
03 May 2018 Preview of the U.S. Employment Situation for April 2018 April Preview IFRM Median Mar Nonfarm Payrolls (k) +201 +193 +103 Private Payrolls (k) +201 +194 +102 Unemployment Rate (%) 4.0 4.0 4.1 Hourly Earnings (m/m % chg) 0.2 0.2 0.3 Workweek (hrs) 34.5 34.5 34.5 February and March brought some volatility to the payrolls growth trend, but the average of the two suggested no real change. With other data appearing to normalize following the transitory effect of last year’s hurricane, we expect a return to a steadier trend, with payrolls up 201k this month. For the other headline numbers, we look for the unemployment rate to finally slip to 4.0% (something the consensus had looked for the prior two months), and average hourly earnings to be up 0.2%. The workweek would be 34.5 hours for the fifth month in the past six. The Fed is generally pleased to see inflation getting back to its target, but earnings growth remains well below pre-recession rates. They are apparently willing to let it accelerate extremely gradually, which is handy, because our forecast has the y/y rate ticking up a mere hundredth of a percentage point, to +2.73%. The three-month moving average would tick down to +2.6% from +2.7%, the third consecutive month of cooling. Once again, jobless claims were very low by historical standards. Initial claims during the week including the 12th (overlapping with both the household and establishment survey periods) rose 6k to 233k, a 4-month high, and the 4-week moving averages in that week rose 6.5k to 231.5k, a 3-month high. On the other hand, continued claims for the same week dropped to 1.837 mn from the equivalent March week’s 1.876 mn, lowest for a survey week since December 1973. It would take a relatively small excess of hiring over labor force entry to send the U-3 rate rounding down to our target, after it came in at 4.071% in March. That was just slightly above the recent low of 4.068% (last October), and a move lower would set a new 18-year record. So far this year, labor force participation has grown almost exactly in line with the household survey’s measure of employment (average 389k and 386k respectively), but in 2017 they averaged +72k and +149k respectively.

Upload: nguyennguyet

Post on 14-May-2018

214 views

Category:

Documents


1 download

TRANSCRIPT

03 May 2018

Preview of the U.S. Employment Situation for April 2018

April Preview IFRM Median Mar

Nonfarm Payrolls (k) +201 +193 +103

Private Payrolls (k) +201 +194 +102

Unemployment Rate (%) 4.0 4.0 4.1

Hourly Earnings (m/m % chg) 0.2 0.2 0.3

Workweek (hrs) 34.5 34.5 34.5

February and March brought some volatility to

the payrolls growth trend, but the average of the

two suggested no real change. With other data

appearing to normalize following the transitory

effect of last year’s hurricane, we expect a return

to a steadier trend, with payrolls up 201k this

month. For the other headline numbers, we look

for the unemployment rate to finally slip to 4.0%

(something the consensus had looked for the

prior two months), and average hourly earnings

to be up 0.2%. The workweek would be 34.5

hours for the fifth month in the past six.

The Fed is generally pleased to see inflation

getting back to its target, but earnings growth

remains well below pre-recession rates. They are

apparently willing to let it accelerate extremely

gradually, which is handy, because our forecast

has the y/y rate ticking up a mere hundredth of a

percentage point, to +2.73%. The three-month

moving average would tick down to +2.6% from

+2.7%, the third consecutive month of cooling.

Once again, jobless claims were very low by

historical standards. Initial claims during the week

including the 12th (overlapping with both the

household and establishment survey periods) rose

6k to 233k, a 4-month high, and the 4-week

moving averages in that week rose 6.5k to 231.5k,

a 3-month high. On the other hand, continued

claims for the same week dropped to 1.837 mn

from the equivalent March week’s 1.876 mn,

lowest for a survey week since December 1973.

It would take a relatively small excess of hiring

over labor force entry to send the U-3 rate

rounding down to our target, after it came in at

4.071% in March. That was just slightly above the

recent low of 4.068% (last October), and a move

lower would set a new 18-year record. So far this

year, labor force participation has grown almost

exactly in line with the household survey’s measure

of employment (average 389k and 386k

respectively), but in 2017 they averaged +72k and

+149k respectively.

03 May 2018

Payrolls Details

The softer than usual payrolls growth last

month broke down to particular weakness in just

a few sectors. On the services side, they were

principally retail trade (-4.4k) – continuing its

streak of sharp changes – and leisure and

hospitality (+5k), plus modestly under-trend

readings in professional / business services and

education / health. We think that retail numbers

lately support a moderate positive employment

increase in that sector, and expect modest

improvements in the others.

Service sector survey employment readings

make us a bit concerned, particularly the national

ISM index, which fell 3.0 to 53.6 (lowest in a

year). At least the Markit number was almost

unchanged, ticking down just two hundredths to

54.49. The Richmond Fed’s employment index

was especially weak, hitting a three-year low. The

Dallas Fed index managed to eke out its highest

since July 2014, but respondent complaints about

being unable to find labor makes us suspect that

it won’t translate into much in terms of payrolls.

Non-Manufacturing Sector Surveys

Employee Index Workweek Index

Apr Mar Apr Mar

ISM Non-Mfg 53.6 56.6

Markit PMI (prel) 54.49 54.51

Philly Fed 15.8 22.6 13.1 29.9

Richmond Fed 7 15

Dallas Fed 15.9 15.3 8.0 8.3

Goods-producing industries should have

rebounded, up just 15k in March (lowest since

last September). Construction was the cause of

last month’s softness, falling 15k (weakest in

three years), which followed February’s +65k,

(strongest in eleven years). We look for a 30k

increase this month. Manufacturing has been

pretty consistent, and we see a trend-like print of

+25k.

Survey data were a little more mixed than on

the services side. There was some disconcerting

softness in the national surveys; the ISM

employment index dropped 3.1 to 54.2, tying for

its lowest since last May, and Markit’s declined

0.62 to 54.03, worst since August. But it seems

like manufacturers have been mostly constrained

by the availability of laborers, so it’s unlikely that

these moves will translate into a change of trend.

Manufacturing Sector Surveys

Employee Index Workweek Index

Apr Mar Apr Mar

ISM Mfg 54.2 57.3

Markit PMI 54.03 54.65

New York Fed 6.0 9.4 16.9 5.9

Philadelphia Fed 27.1 25.6 21.6 12.8

Richmond Fed 12 11 8 12

Kansas City Fed 26 26 10 15

Dallas Fed 14.3 10.2 23.9 18.2

Other Anecdotes

The ADP National Employment Report was

over consensus for the ninth straight month, but

just by a hair, at +204k vs. the +200k consensus.

That’s unusually close to the BLS private payrolls

projection of +194k, but note that, in contrast to

their more usual overestimates, ADP has

underestimated the initial BLS figure in nine of the

last ten Aprils (they matched on the tenth), by an

average of 64k.

There wasn’t too much drama in the breakdown

by sector. Significant differences from the recent

trend included a 34k rise in professional services

(trailing six-month avg. of +19k) and a +14k gain

in trade/transport/utilities (trailing avg. of +27k).

They had goods-producing sector payrolls up 44k,

and service-providing payrolls up 160k, six- and

five-month lows respectively.

03 May 2018

The Conference Board's Consumer

Confidence Index improved to 128.7 from

127.0, with gains in both the present situation

index (+1.5 to 159.6) and expectations (+1.9 to

108.1). The labor market differential (share of

respondents saying jobs are plentiful minus that

saying jobs are hard to find), on the other hand,

fell 0.9 to +22.9. With a downward revision to

March (originally +25.0), that makes it the

second decline in a row from February’s +24.0, a

16.5-year high.

At least the income expectations differential

improved, up 0.3 to +16.3, highest since June

2001. The share expecting income gains ticked

down slightly, to 23.1% from 23.2%, but the

share expecting a decline fell 0.4 pp to 6.8%.

Labor market expectations also improved, the

share expecting more jobs rising 0.6 pp to 19.5%

and the share expecting fewer holding steady at

12.5%.

[email protected]

(617) 856-2479

[email protected]

(617) 856-2886

What Others are Saying

According to the latest Reuters News survey,

median estimates were +193k for headline

payrolls, +194k for private payrolls, and 4.0% for

the unemployment rate. The subsequent pages

feature firms' April employment forecasts as of the

beginning of the week, laid out from highest to

lowest.

Scotia Economics (NFP +210k, U/E 4.0%)

Was the deceleration in job growth during March

(103k) a flash in the pan and possibly weather-

influenced, or was February’s 326k rise the

aberration in the context of three out of the past

four prints that have registered job growth at a

one-handled pace? At least as important is

whether average hourly wage growth hangs in at

2.7% y/y in nominal terms, or slips as base

effects counsel, or climbs somewhat further

given typical seasonal wage gains during April.

We’re going with 2.8% y/y.

TD Economics (NFP +210k, U/E 4.0%)

We expect nonfarm payrolls to bounce back,

adding 210k jobs in April. The weak 103k print in

March largely reflects a giveback from the

blockbuster February gains that were concentrated

in construction and certain services categories such

as retail trade. We expect a return back toward

trend consistent with continued strength across

survey indicators (employment surveys, consumer

confidence), with some upside as April payrolls

tend to beat expectations and outperform ADP

employment in particular. Given the still solid pace

of job gains, we expect the unemployment rate to

move lower to 4.0% assuming a stable to lower

participation rate. We expect average hourly

earnings to rise 0.2% m/m, as reference week

distortions suggest a high bar for a 0.3% or higher

print. That should leave the y/y pace steady at

2.7%, consistent with the prevailing view at the

Fed that wage growth remains only moderate.

03 May 2018

Wells Fargo (NFP +195k, U/E 4.0%)

Nonfarm payrolls rose 103k in March, below

expectations. The three-month average gain

remains at a solid 202k jobs, suggesting strong

underlying momentum. Weather played a role in

the lower March job gain; construction jobs–which

are particularly sensitive to weather, like the

storms in the Northeast–were down 15k. A

standout on the positive side was the

manufacturing sector, where the three-month

average job gain rose to 25k. As the labor market

continues to tighten, and the pool of workers on

the sidelines shrinks, monthly job gains are likely

to slow somewhat. We expect payrolls to have

increased 195,000 in April.

Average hourly earnings grew 0.3 percent in

March and are up 2.7 percent on the year. The

gradual rise in earnings over the past six months

has been helping to support income growth and

inflation, but is also increasing pressure on profit

margins. We expect another strong month for

average hourly earnings in April.

BMO Capital Mkts (NFP +190k, U/E 4.0%)

After two volatile months, nonfarm payrolls are

expected to return to a more trend-like increase

of 190k in April, just a mild step back from the

robust six-month mean of 211k. Construction

jobs should rebound after sagging due to bad

weather. The biggest challenge for the U.S.

economy now is too-few workers rather than lack

of jobs.

Barring an upturn in the participation rate, the

jobless rate is expected to decline for the first

time in seven months to a 17-year low of 4.0%.

We see it sliding further to 3.7% by year-end, a

48-year nadir (which is where new jobless claims

sit). Also look for the more comprehensive U6

measure of joblessness to probe new lows below

8%. With little slack left, the economy would

benefit from an upturn in labor force participation.

The part rate has changed little in the past four

years, as retiring baby boomers neatly offset an

upturn in prime-age (25 to 54 years) job seekers

(partly due to an upturn in disabled persons

entering the workforce).

Widespread labor shortages should lift average

hourly earnings 0.3% in the month and 2.8% in

the past year, the top end of the cycle range.

Societe Generale (NFP +190k, U/E 4.0%)

Nonfarm payrolls rose by only 103k in March, the

weakest reading since a hurricane-related rise of

just 14k in September 2017, and the prints for the

prior two months were revised down by a

combined 50k (all of it in January). Still, despite

the disappointing headline figure, payrolls jumped

by 326k in February (revised up from the initial

reading of 313k), the best result since October

2015. Moreover, the three-month average payroll

change stood at 202k and the six-month figure was

at 211k, so the underlying pace of job growth

remained well above the 100k-125k per month

that is consistent with a stable unemployment rate.

Additionally, the March reading could have been

held down somewhat by the harsh weather in the

month, when a string of snowstorms hit the East

coast. In March, the number of people not at work

due to the weather was 159k, close to the long-run

average of about 143k. However, those who

normally work full-time but had to work part-time

due to the weather numbered about 1.1 million,

well above the long-run average of 454k. To be

sure, the establishment survey counts anyone who

was paid for even one hour of work as employed,

so the weather effect could have been minimal.

Still, note that construction, a weather-sensitive

sector, shed 15k jobs in March, well below the

recent three-month average gain of 45k and the

six-month average rise of 34k, so the weather may

have played a role.

Just as the February pace of job growth

seemed to have overstated the degree of strength

in hiring, the March reading likely understated

labor demand. Indeed, we expect that job growth

advanced by 190,000 in April, close to the

underlying trend. Elsewhere in the report, the

unemployment rate, which stood at 4.1%

(4.071%) in March could have slipped to 4.0%.

That would mark the lowest rate since December

2000 (3.9%). Meanwhile, after a 0.3% rise in

March, average hourly earnings could have

03 May 2018

increased by a slightly more modest 0.2% in

April, which would leave the yoy rate steady at

2.7%.

Goldman Sachs (NFP +180k, U/E 4.0%)

We estimate nonfarm payrolls increased 180k in

April. Our forecast reflects a rebound in job

growth following a weather-influenced slowdown

in March (+103k). However, we note that labor

market fundamentals may have softened at the

margin. April snowstorms in the Midwest may also

limit the extent of the reacceleration in payroll

gains, in our view. We estimate the

unemployment rate declined by one tenth to

4.0% (from 4.07% previously), as continuing

claims have continued to fall and the surge in

labor force participation in February (+0.3pp) is

typically associated with a decline in the jobless

rate over the following three months. Finally, we

expect average hourly earnings to increase 0.2%

month over month with risks skewed to the

downside (we forecast 2.6% year over year),

reflecting somewhat unfavorable calendar effects.

UniCredit (NFP +180k, U/E 4.0%)

US nonfarm payrolls likely rose a solid 180k in

April, after fluctuating wildly in the past two

months, when payrolls rose by 326k and 103k,

respectively. We think weather-pattern and

seasonal factors were largely responsible for the

volatility. The anticipated April reading would thus

bring employment gains back to the underlying

average.

The jobless rate is likely to drop to 4.0% after

having been stable at 4.1% for six straight

months. Average employment gains are still

outpacing increases in the labor force, putting

downward pressure on the unemployment rate.

The broader U-6 underemployment rate fell back

to 8.0% in March, which is only 0.1pp above the

cyclical trough of the previous boom period

reached in December 2006.

Average hourly earnings likely rose 0.3% mom,

lifting the yoy rate to 2.8% from 2.7%. This would

leave the very gradual upward trend in labor costs

on track.

CIBC World Markets (NFP +177k, U/E 4.0%)

Even though first quarter growth this year wasn’t

as weak as in prior years, it was still a little soft

relative to the pace of employment gains. And

while convergence could come from a re-

acceleration in GDP, some slowing in the average

pace of payrolls has also been seen in prior years.

The average monthly job gain in Q1 was just over

200K, and we would expect something moderately

below that to start the second quarter. Look for job

growth in construction and manufacturing in

particular to remain weaker than earlier in the

year.

With labor force participation already having

picked up slightly and job growth set to remain

above the pace of increase in the population, the

unemployment rate could tick down to 4.0% in

April. A 0.2% rise in wage growth for the month

would leave the annual rate at 2.7%.

A slightly cooler gain in jobs than the average

seen in Q1 shouldn’t change what’s a largely

positive outlook for household incomes and

consumer spending. Should business investment

start to pick up again later in the year following the

tax cut and other incentives given to companies to

make such investments, that should re-strengthen

the trend in construction and manufacturing

employment growth.

03 May 2018

Barclays (NFP +175k, U/E 4.0%)

We expect nonfarm payrolls to rise by 175k on

the month, in line with longer-run trends in

monthly employment growth. We look for private

payrolls to rise by 170k on the month and for

government payrolls to increase by 5k. Recent

months have seen volatility in the hiring data,

with strong February hiring offset by weakness in

March. We view the weaker reading on

employment last month mainly as payback given

that other labor market indicators, including data

on initial claims, continue to point to healthy labor

market conditions.

For the U3 unemployment rate, we expect a

one-tenth decline to 4.0%. The unemployment

rate has gone five straight months without a

drop, the longest such stretch during the

recovery, and we expect it to resume its

downward trend in the coming months.

Elsewhere, we expect average hourly earnings to

rise by 0.3% m/m and 2.8% y/y and average

weekly hours to hold steady at 34.5.

See tables of forecasts on subsequent ages.

03 May 2018

Reuters Weekly Economic US Poll Release Date May 4 May 4 May 4 May 4 May 4 May 4

Period Apr Apr Apr Apr Apr Apr Unit K K % K % Hrs Prior 103 102 4.1 0.3 34.5 22 Median 193 194 4.0 0.2 34.5 20 Lowest 120 150 3.9 0.2 34.4 10 Highest 259 250 4.1 0.5 34.5 30 No. of Forecasts 102 33 100 75 37 21 INDICATOR Nonfarm Private Unemployment Average Hourly Workweek Manufacturing COMPANY Payrolls Payrolls Rate Earnings Hours Payrolls ABN Amro Cap 1 220 - 4.0 0.2 - - Action Economics 210 - - - - - ADM Inv Sec 200 - 4.0 0.2 - - Ameriprise Fin 195 195 4.0 0.3 34.5 18 Amherst Pierpont 225 220 4.0 0.2 - - ASB Bank 200 - - - - - Aurel BGC 185 - 4.0 - - - Bantleon Bank 190 - 4.0 - - - Barclays 175 170 4.0 0.3 34.5 - BayernLB 195 - 4.0 - - - BBVA 200 190 4.0 0.3 34.5 25 Berenberg 170 - 4.0 - - - Berliner Spark 180 - 4.0 0.2 - - Bk of West 185 - 4.0 0.2 34.5 17 BMO 190 - 4.0 0.3 - - BNP Paribas - - - - - - BoFAML 210 205 4.0 0.3 34.5 - Boston College 120 - 4.0 0.3 - - Briefing.com 200 195 4.0 0.3 34.5 - CA CIB 195 - 4.0 0.2 34.5 - Capital Econ 175 - 4.0 0.3 34.5 - Central 1 Credit 225 - 4.1 0.2 - - CIBC 177 - 4.0 0.2 34.5 - Citigroup 168 163 4.0 0.2 - 14 Comerica Bank 180 - 4.0 0.3 - - Commerzbank UK 180 - 4.0 0.2 - - Conference Board 180 - 4.0 - - - Continuum Econ 200 195 4.0 0.2 34.5 20 Credit Suisse 175 175 4.0 0.2 - - Dai-ichi Life 220 - 4.0 - - - Daiwa Cap Mkts 180 - 4.0 0.2 34.5 - Danske Bank 200 - 4.0 0.2 - - DBS Bank 195 - 4.0 - - - DekaBank 210 - 4.0 0.3 - - Desjardins Group 225 - 4.1 0.2 34.5 -

03 May 2018

INDICATOR Nonfarm Private Unemployment Average Hourly Workweek Manufacturing COMPANY Payrolls Payrolls Rate Earnings Hours Payrolls Deutsche Bank 185 185 4.0 0.3 34.4 - Deutsche Postbnk 180 - 4.1 - - - DNB 210 - 4.0 0.2 - - Donald Ratajczak 225 216 4.1 0.2 34.5 13 DZ Bank 180 - 4.0 - - - FAO Economics 175 165 4.1 0.2 34.5 20 Fathom 220 - 4.0 0.3 - - FCI 175 - 4.0 0.2 - - FT Advisors 184 184 4.0 0.2 34.5 22 FTN Fin Sec 225 - 4.1 0.2 - - Goldman Sachs 180 180 4.0 0.2 - - Handelsbanken 190 - 4.0 - - - High Frequency 145 - 4.0 0.2 34.5 - HSBC 185 - 4.1 0.2 - - IDEAglobal 185 180 4.0 0.2 34.5 15 IFR Markets 201 201 4.0 0.2 34.5 25 Informa Global 205 - 4.1 0.2 - - ING Fin Mkts 200 - 4.0 0.2 - - Intesa Sanpaolo 190 - 4.1 0.3 - - Investec 200 - 4.0 - - - JPMorgan 175 175 4.0 0.2 34.5 20 Julius Baer 200 - 4.0 0.4 - - Jyske Bank 180 - 4.0 0.2 - - Kern Consulting 180 - 4.1 - - - LBBW 220 - 4.0 0.3 - - Lbk Hessen 200 - 4.0 0.2 34.5 - Lloyds Bank UK 200 195 4.0 0.3 34.5 - Market 185 - 4.0 - - - Merrion 195 150 4.0 0.2 34.5 30 MFR 200 200 4.0 0.2 34.5 - Mizuho Secs 175 - 4.1 0.2 - - Moody's Analytic 200 195 4.0 0.3 34.5 - Morgan Stanley 145 - 4.0 0.2 34.4 - Mortgage Bankers 150 - 4.0 - - - NAB 205 - 4.0 0.2 - - NAR 160 - 4.0 - - - Naroff Economic 198 200 4.0 0.3 34.5 10 Natixis 175 - 4.0 0.3 - - Natl Bk Canada 160 - 4.0 - - - NatWest Markets 205 200 4.0 0.2 - - Nomura 220 210 4.0 0.3 - 15 NORD/LB 170 - 4.1 0.2 34.5 20 Oxford Econ 192 - 4.0 0.2 - 30 Pantheon 200 - 4.0 0.2 - - Peter Morici 202 197 4.0 0.2 34.5 20

03 May 2018

INDICATOR Nonfarm Private Unemployment Average Hourly Workweek Manufacturing COMPANY Payrolls Payrolls Rate Earnings Hours Payrolls PNC Finl Svc 175 170 3.9 0.3 34.5 25 Raiffeisen Intl 226 - 4.0 0.2 34.5 - Raymnd Jam Asso 185 - 4.0 0.3 34.5 - RBC 255 250 4.0 - - - S&P 200 190 4.0 0.2 34.5 10 Saxo Bank 197 - 4.0 0.2 - - Scotiabank 210 - 4.0 0.2 - - SEB 170 - 4.0 0.3 - - SMBC Nikko Sec 152 150 4.1 0.3 - - Societe Generale 190 185 4.0 0.2 34.5 15 Spartan Cap Sec 225 210 4.0 0.5 34.5 28 StanChart 185 - 4.0 0.2 - - Stifel 170 - 4.0 - - - Sydbank 180 - 4.0 0.2 - - TD 210 - 4.0 - - - UBS AG 194 194 4.0 0.3 34.5 - UCF 240 - 4.0 - - - UMB Financial 190 - 4.0 - - - Uni Georgia 259 - 4.0 - - - UniCredit 180 - 4.0 - - - Wells Fargo 195 - 4.0 - - - Westpac 180 - 4.0 - - -

Primary dealers shaded

03 May 2018

Nonfarm Payrolls Apr-18* Mar-18 Feb-18 Jan-18 Dec-17 Nov-17 Oct-17

Total 201 103 326 176 175 216 271

Private 201 102 320 188 174 217 277

Private Service-Producing 138 87 214 133 92 139 239

Goods-Producing 63 15 106 55 82 78 38

Mining 8 8 9 7 1 6 1

Construction 30 -15 65 28 42 42 17

Manufacturing 25 22 32 20 39 30 20

Durable goods 20 22 28 17 29 27 10

Nondurable goods 5 0 4 3 10 3 10

Service-Producing 138 88 220 121 93 138 233

Information 0 2 -2 -16 -4 -4 0

Financial Activities 5 2 30 3 8 9 9

Professional & Business Svcs 35 33 55 38 31 16 60

Education & Health Svcs 30 25 28 50 30 38 15

Leisure and Hospitality 25 5 23 21 31 20 110

Other Services 5 -1 6 3 5 11 17

Government 0 1 6 -12 1 -1 -6

Trade, Trans & utilities 38 21 74 33 -9 49 28

Wholesale Trade 8 11 7 7 9 10 8

Retail Trade 15 -4 47 12 -26 27 7

Trans & Warehousing 15 10 18 15 9 12 14

Utilities 0 4 2 -1 0 0 0

Unemployment Rate 4.0% 4.1% 4.1% 4.1% 4.1% 4.1% 4.1%

U-6 Underutilization Rate 8.0% 8.2% 8.2% 8.1% 8.0% 8.0%

Participation Rate 62.9% 63.0% 62.7% 62.7% 62.7% 62.7%

Hourly Earnings (y/y pct chg) 2.7% 2.7% 2.6% 2.8% 2.7% 2.5% 2.3%

Weekly Earnings (y/y pct chg) 3.2% 3.1% 2.2% 3.0% 3.0% 2.2%

Workweek (hours) 34.5 34.5 34.5 34.4 34.5 34.5 34.4

Manufacturing 40.9 41.0 40.7 40.8 40.9 40.9

Overtime 3.6 3.7 3.5 3.5 3.5 3.5

* as estimated by IFR Markets

© Reuters 2017. All rights reserved. Republication or redistribution

of Reuters content, including by caching, framing or similar means,

is expressly prohibited without the prior written consent of Reuters.