The Australian jobs report for October was a bit mixed. Main function gains It met expectations, but slowed slightly from the big jump in September.
The economy added 15,900 jobs, which kept things positive but was well below the downwardly revised gain of 61.3K from the previous month.
Link to Australian Labor Force Survey (October 2024)
the Unemployment rate It settled at 4.1%, which is in line with market expectations. Looking closely, there was a bit of softness beneath the surface. Full time job Additions slowed from 48.8K to 9.7K (vs. 15K expected) while Part-time work Decreased from 12.5K to 6.2K (vs. 5.0K expected).
the Participation rate It fell slightly to 67.1% from 67.2% in September. Monthly working hours It rose by just 3 million hours (0.1%), suggesting that labor demand may be softening slightly. On a brighter note, the Underemployment rate It decreased to 6.2% from 6.3%.
Market reactions
Australian dollar against major currencies: 5 minutes
Overlay of the Australian dollar against major currencies Chart by TradingView
The Australian dollar initially remained steady but gradually fell after the release, although the headline numbers are in line with expectations. Mixed details and signs of slowing momentum may have weighed on demand for the Australian dollar.
For now, the muted market response suggests traders may be focusing on signs of moderation in the labor market, even as overall conditions remain relatively strong with unemployment remaining at historically low levels.
The Australian dollar fell further against the US dollar and the Canadian dollar, while holding up somewhat against Asian movers such as the Japanese yen and the New Zealand dollar.
Comments are closed, but trackbacks and pingbacks are open.