Jobs data are crucial for the RBA’s rate-setting board as the resilience of the labour market, and worries about its tightness potentially rekindling price pressures, have been among factors driving a cautious approach in the current easing cycle.
Australian unemployment jumped to a four-year high as the economy added fewer jobs and more people sought work, signalling the labour market is loosening and adding to the case for the Reserve Bank of Australia (RBA) to resume lowering interest rates as soon as next month.
The currency and yields on policy-sensitive three-year government bonds slid as the jobless rate climbed to 4.5% in September from an upwardly revised 4.3%, government data showed Thursday. Employment advanced 14,900 — compared with an expected 20,000 gain — while the participation rate climbed to 67%.
