Australia’s labor market weakened in July, losing 15.8k jobs and pushing unemployment to 4.5%, reinforcing RBA policy pause expectations.
Australia’s economy shed 15.8k jobs in July, missing consensus forecasts of a 12k gain and contrasting June’s 80.2k increase. The decline was driven by a 32.2k drop in part-time employment, while full-time roles rose 16.3k.
The unemployment rate climbed to 4.5%, up 0.1 percentage point, despite a dip in participation. Hours worked fell 0.6% month-on-month, signaling weaker labor demand. June’s full-time employment gain was revised higher to 48.9k.
The data supports expectations the Reserve Bank of Australia will keep rates on hold, though high carry and commodity exposure continue to support the AUD.