SYDNEY, Nov 15 Reuters Australian wages posted the largest increase on record last quarter as a sharp rise in minimum wages benefited millions of workers, while intense competition among employers pushed up many individual pay deals.

Yet analysts noted this was largely due to a confluence of factors that were unlikely to be repeated, and markets still saw scant chance of a rate hike in response.

Figures from the Australian Bureau of Statistics out on Wednesday showed its wage price index rose 1.3 in the September quarter, matching forecasts and the biggest quarterly rise in the 26year history of the series.

Annual pay growth picked up to 4.0, from 3.6, the fastest since early 2009 and just above market expectations of 3.9.

The acceleration was much as expected by the Reserve Bank of Australia RBA, and one reason it raised interest rates last week to a 12year top of 4.35.

As a result, investors doubted that this report alone would trigger a further tightening and priced in just a 7 chance of a hike in December.

Analysts noted the September quarter was something of an aberration with a number of oneoff factors.

Q3 was a perfect storm for wage pressures, said Sean Langcake, head of macroeconomic forecasting for Oxford Economics Australia.

High inflation is factoring into wage decisions as workers seek to keep up with cost of living pressures. A largerthanusual increase in minimum and award wages also had a large impact.

Much of the spike was due to a mandated 5.75…