Australian jobs shed 15,800 in July, unemployment rises to 4.5%
By Aboki Forex —
Australia lost 15,800 jobs in July, pushing the unemployment rate to 4.5%, the highest since late 2021. The decline follows solid employment growth in June and offers further evidence that the labour market is cooling.
Pressure on RBA eases
The figures reduce pressure on the Reserve Bank of Australia (RBA) to raise interest rates again in the near term. Financial markets now price in very little probability of a rate increase at the next RBA meeting.
However, the chance of another hike before the end of the year remains around 50%. That makes forthcoming inflation data particularly important for the direction of monetary policy.
Australian dollar slips
The Australian dollar declined 0.2% to US$0.7111 after the employment report was released. Employment unexpectedly declined in July, with unemployment climbing to its highest level since late 2021.