Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View More
Australian Dollar Climbs as Jobs Data Dents RBA Rate Cut Expectations

Australian Dollar Climbs as Jobs Data Dents RBA Rate Cut Expectations

Daniel Dubrovsky, Contributor

Talking Points:

  • The Australian Dollar gained more than 0.6% versus its US namesake
  • The country added more jobs than expected, Chinese CPI also released
  • Government bond yields reflect decreased RBA rate cut expectations

The Australian Dollar gained more than 0.6 percent versus its US counterpart after August’s Employment data crossed the wires. Economists were expecting the country to add 5K jobs in the month of August; actual figures topped expectations at 17.4K jobs added. Most of the jobs gained came from the full-time figures (+11.5K). Australia added 5.9K part-time jobs in August. The Unemployment and Participation rate remained unchanged at 6.2 percent and 65.0 percent respectively.

Last week, the Reserve Bank of Australia maintained a data-dependent monetary policy outlook. Indeed, Australian front-end government bond yields climbed as the data was released. This suggests that today’s labor force data likely decreased RBA rate cut expectations in the near-term.

Simultaneously, China released its CPI figures for August. The data came in at 2.0 percent (YoY) versus 1.8 percent expected. Economic news flow out of China, Australia’s largest trading partner, can produce a spill-over effect on the Aussie. However, domestic data appeared to overshadow Chinese news flow in the markets interpretation of RBA monetary policy direction. In other words, today’s positive Employment figures took the spotlight with Chinese CPI having little impact on the AUDUSD.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.