Employment is in focus this week, with U.S. jobs data for May being released. Euro zone core inflation will also be on the agenda. Ciara Lee reports.
Through the global economy's recovery one thing that has not turned higher in a meaningful way is workers' pay. Job markets in economies like the U.S., Britain and Germany have made impressive gains. But there remains less evidence that the majority of people are doing better on payday - U.S. jobs data for May is due this week and expected to reinforce this. In the euro zone, core inflation data is out on Wednesday - although some believe that may already have hit its peak. (SOUNDBITE) (English) INDEPENDENT MARKET ANALYST, JEREMY BATSTONE-CARR, SAYING: "I suspect that we will see that inflationary pressure across the euro zone has ebbed a little bit and that too of course is going to make the job of the European Central Bank and Dr Mario Draghi all the harder." Draghi, in remarks due on Monday to the European Parliament, will most likely stick to his broad message that growth is looking solid. But a recent ECB study suggests unemployment may be higher than official statistics suggest, another explanation why wage growth remains muted. (SOUNDBITE) (English) INDEPENDENT MARKET ANALYST, JEREMY BATSTONE-CARR, SAYING: the Euros euro cent European Central Bank wants to promote the view that the Eurozone has recovered because it needs cover to escape from its quantitative easing program because it is now pushing up against constitutional limitations in terms of the number of bonds that it can buy. So it has to talk up the region in order to justify pulling away from QE. In Britain, imported inflation from the pound's sharp depreciation since the Brexit vote has started to bite, wiping out a short period where workers had begun to enjoy real wage gains. What Britain and most of its major trading partners, including the U.S., also have in common is a period of particularly poor productivity. While still hiring at a blistering pace, Britain's economy only managed to scrape out 0.2 percent growth in the first quarter, less than half the euro zone's rate.