Aussie jobs data is in: In-line Unemployment Rate and no major changes keeps AUD/USD bid

Ross J Burland FXStreet

The Aussie jobs data has arrived and it has helped the Aussie higher on inline Unemployment Rate and no major changes - Full Time Employment Change was also a big beat.

Fulltime Employment (Mar) 48.3K vs prior - 7.3k
Employment Change s.a. (Mar) 15k vs exp 12.0k and prior 4.6 k (10.7k rev)
Part-Time Employment (Mar) - 22.6k vs prior 11.95
Unemployment Rate s.a. (Mar) 5.0% vs exp 5.0% and prior 4.9% (Uptrend in the unemployment rate would open the door to a rate cut).
Participation Rate (Mar) 65.7% vs exp 65.6% and prior 65.6%

More to come on revisions...

For reference (Bank Analysis and opinion prior to the data):

Analysts at Westpac explained that the RBA has made clear that an uptrend in the unemployment rate would open the door to a rate cut.

After the modest 5k rise in Feb, consensus for Mar is 15k. Westpac looks for 8k. This would keep the annual pace of jobs growth at a firm 2.3%. But if the participation rate remains at 65.6%, this would see the unemployment rate rise to 5.1% from 4.9% in Feb (a low since Mar 2011). Consensus is 5.0%.

About the Employment Change

The Employment Change released by the Australian Bureau of Statistics is a measure of the change in the number of employed people in Australia. Generally speaking, a rise in this indicator has positive implications for consumer spending which stimulates economic growth. Therefore, a high reading is seen as positive (or bullish) for the AUD, while a low reading is seen as negative (or bearish).

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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