(Reuters) -Mastercard's ( MA ) second-quarter profit beat expectations as customers kept up spending heavily using its cards, sending shares of the payments giant nearly 3% higher before the open on Wednesday.

A tight labor market has ensured job security for customers, allowing them to make purchases without restraint even as the U.S. Federal Reserve keeps monetary policy tight.

However, several of Mastercard's ( MA ) peers have flagged slowing growth, particularly from low-income customers, as wage inflation moderates and elevated interest rates weigh on customer sentiment.

Mastercard's ( MA ) switched volume, which measures the value of transactions processed on its network, were 10% higher than last year.

Cross-border volume, a gauge of travel demand that tracks spending on cards outside the country of their issue, climbed 17% in the same quarter.

Commentary from payments companies is being watched closely for signs that the Fed's rate-hiking campaign is bearing fruit.

Mastercard's ( MA ) profit rose 17%, to $3.3 billion, or $3.50 per share for the three months ended June 30. Excluding one-time costs, it earned $3.59 per share, versus the estimate of $3.51, according to LSEG data.

Its revenue rose 13% from a year ago on a currency-neutral basis, to $7 billion.

The company's shares have risen nearly 5% so far this year, outperforming its chief rival Visa's 1% gain.

Peers American Express, Capital One and Discover Financial have jumped 35%, 16% and 29%, respectively. Capital One agreed to buy Discover in a $35.3-billion deal earlier this year.