AUD/USD bid after Aussie jobs data, uptick in full-time jobs saves the day for bulls

  • AUD is better bid on upbeat Aussie labor market report. 
  • Headline figure missed estimates, but full-time jobs ticked higher. 

The bid tone around the Australian Dollar strengthened, pushing the AUD/USD to a session high of 0.7027 after the data released by the Australian Bureau of Statistics showed the fulltime jobs growth picked up pace in June. 

The economy added 21.1K fulltime jobs last month, a significant rise from the preceding month's print of 2.4K additions. Meanwhile, part-time jobs fell by 20.6K, following a 39.8K rise in May. Further, the jobless rate remained unchanged at 5.2% as expected. 

A rise in the fulltime jobs is helping the AUD digest the weaker-than-expected headline figure. The employment change came in at 0.5K, missing the estimate of 10.0K by a big margin and down significantly from May's print of 42.3K. 

All-in-all. the labor data will ease pressure on the Reserve Bank of Australia to cut rates immediately in August. The central bank cut rates in May and June and is widely expected to deliver another rate cut in the final quarter of this year. 

With full time jobs rising, the markets are unlikely to pull forward expectations of a third rate cut to next month. The AUD/USD, therefore, could extend the gains during the day ahead. As of writing, the pair is trading at 0.7020, representing a 0.16% rise on the day. 

A daily close above the July 16 high of 0.7045 is needed to revive the bullish technical setup. 

Pivot points

    1. R3 0.7054
    2. R2 0.704
    3. R1 0.7025
  1. PP 0.701
    1. S1 0.6995
    2. S2 0.6981
    3. S3 0.6966




Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Editors’ Picks

EUR/USD chops around amid end-of-month flows, ahead of Trump

EUR/USD is battling 1.11, close to the two-month highs amid choppy trading. Hopes for a fiscal boost in Europe and mixed satisfactory data have supported the currency pair. , Sino-American tensions are rising and investors await President Trump's China announcement.


GBP/USD advances amid US dollar weakness, shrugging off concerns

GBP/USD is trading above 1.23, edging higher amid US dollar weakness and Britain's gradual reopening. Intensifying Sino-American tensions and the Brexit impasse are ignored. 


Cryptocurrencies: $348M in matured derivatives boost the market

Futures and options contracts' expiration brings a wave of volatility to the crypto market. Ethereum takes advantage and attacks resistances in the market dominance chart, Bitcoin goes back. Ripple disappoints despite regaining the third place in market capitalization.

Read more

Canada's economy falls by 8.2% annualized in Q1, better than expected, USD/CAD shakes

The Canadian economy squeezed by an annualized rate of 8.2% in the first quarter of 2020, better than -10% expected. Quarterly, Gross Domestic Product (GDP) squeezed by 2.1%. Most of the downfall occurred in March, with a drop of 7.2%, better than 8.5% projected. 

Read more

WTI drops 4% and eyes $32 mark amid risk-off, weakening demand

The selling pressure around WTI (July futures on Nymex) accelerates following the break below the 33 level, as bears now target the 32 support zone heading into the key US macro data and US President Donald Trump’s response to the Hong Kong issue.

Oil News