Australian Jobs Smash Expectations with 58,600 New Jobs in October

Australia’s jobless rate has fallen below 6 per cent for the first time in five months, surprising economists and delivering a boost to the administration of Malcolm Turnbull, the country’s new prime minister.

The economy added 58,600 jobs in October, almost four times more than consensus forecasts, suggesting it was performing better than many investors and economists expected.

Justin Fabo, economist at ANZ Bank, said the jobs numbers published by the Australian Bureau of Statistics showed “startling strength” and said a cut in official interest rates was now less likely.
“We are always wary of reading too much into the monthly labour force ‘lottery’ but even looking through the noise it’s hard not to conclude that current labour market conditions in Australia are strong,” said Mr Fabo.

The data buoyed the Australian dollar, up as much as 1 per cent to $0.7134 and on track for its best one-day gain in a month.


Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza