-
The strong labor market decreased market expectations that the Reserve Bank of Australia (RBA) would lower interest rates, as maintaining higher rates may be necessary to manage inflationary pressures.
-
In response to the positive employment data, the AUDUSD pair increased by approximately 0.70%, reaching around 0.6710 USD.
-
Financial investors are recalibrating their outlook, reducing the likelihood of near-term monetary easing by the RBA due to sustained employment growth.
The Australian labor market showed surprising resilience in September 2024, with employment surging by 64,100 - more than double the anticipated 25,000 increase. The unemployment rate held steady at 4.1%, maintaining its position over the past six months, while the participation rate climbed to a record high of 67.2%. These robust figures underscore a tightening labor market, contributing to the Australian dollar's strength in currency markets. The unemployment rate remained steady at 4.1%, consistent with its level around 4.0-4.2% over the past six months, indicating a stable and tight labor market. The participation rate climbed to a record high of 67.2%, suggesting that more individuals are entering the workforce and successfully securing employment.
- Employment rose by 64,100 in September 2024, more than double the forecasted increase of 25,000.
- Increased by 51,600, showing significant growth in stable, full-time positions.
- Unemployment Rate remained steady at 4.1%, consistent over the past six months, indicating a stable labor market.
- Participation Rate climbed to a record high of 67.2%, suggesting more individuals are entering the workforce.
AUDUSD (D1 interval)
In reaction to the strong employment data, the Australian dollar experienced a significant appreciation. The AUDUSD pair climbed approximately 0.70%, reaching around 0.6710 USD. This upward movement reflects investor sentiment that the RBA may delay interest rate cuts, given the robust labor market and its potentially pro-inflationary effect. Following the release of the data, AUD remains the strongest currency among the G10 currencies gaining between 0.40-0.60%.
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app
Source: xStation 5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
