AUD/USD jumps 38 pips on better-than-expected Aussie jobs report


  • AUD picked up a bid on the above-forecast jobs report. 
  • The economy added significantly higher jobs than expected. 
  • Ful-time jobs, however, declined and could keep gains under check.

The bid tone around the AUD strengthened, pushing the AUD/USD pair higher by 38 pips after the Australian jobs data bettered estimates by a big margin. 

The Australian economy added 28.9K jobs in December. Employment was forecasted to have risen by 15k in December, easing from the prior month’s impressive gain of
39.9k.

The jobless rate dipped to 5.1% in December from the preceding month's 5.2%. It was forecasted to have stayed unchanged at 5.2%.

AUD/USD pair rose from 0.6838 to 0.6876 in a knee-jerk reaction to above-forecast headline numbers. 

The economic climate had darkened towards the year-end, as the country battled to bring the fires under control and so the markets were expecting a weak number. The headline numbers, however, have bettered estimates, offering a positive surprise. As a result, the AUD could remain better bid during the day ahead. 

That said, big gains may remain elusive as the Full-Time jobs fell by 0.3K, taking the shine off the big beat on the headline figure. 

The investors, therefore, are unlikely to scale back expectations for a Reserve Bank of Australia (RBA) rate cut on 4 February. As of Wednesday, expectations for a 25 basis point cut from the Reserve Bank of Australia (RBA) on 4 February sat at 56%. 

Technical levels

AUD/USD

Overview
Today last price 0.684
Today Daily Change -0.0003
Today Daily Change % -0.04
Today daily open 0.6843
 
Trends
Daily SMA20 0.6919
Daily SMA50 0.687
Daily SMA100 0.6844
Daily SMA200 0.6882
 
Levels
Previous Daily High 0.6857
Previous Daily Low 0.6826
Previous Weekly High 0.6935
Previous Weekly Low 0.6871
Previous Monthly High 0.7033
Previous Monthly Low 0.6762
Daily Fibonacci 38.2% 0.6838
Daily Fibonacci 61.8% 0.6845
Daily Pivot Point S1 0.6827
Daily Pivot Point S2 0.6811
Daily Pivot Point S3 0.6796
Daily Pivot Point R1 0.6858
Daily Pivot Point R2 0.6873
Daily Pivot Point R3 0.6889

 

 

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