The U.S. Bureau of Labour Statistics released its employment cost index on Friday. The U.S. employment cost index rose 0.6% in fourth quarter, after a 0.6% gain in third quarter.

The increase was driven by higher benefits payments for state and local government employees.

Wages and salaries increased 0.6% in the fourth quarter, after a 0.6% rise in the third quarter, while benefits payments climbed 0.7% in the fourth quarter, after a 0.5% increase in the third quarter.