Australian Job Growth Continues
Unemployment still increased slightly, but that was due to a big increase in the work force. Australia has an unusually high rate of population growth (2% per year) so employment must grow by about 18,000 per month just to accomodate the growing population, and this month the participation rate also increased.
This report increases the probability that the Reserve Bank of Australia (RBA) will again increase interest rates. The 32% appreciation of the Australian dollar relative to the U.S. dollar this year will on the other hand make the RBA more reluctant to hike interest rates.