Australian wage and labor data unlikely to shift RBA rate pricing
The Reserve Bank of Australia’s rate pricing is unlikely to be affected by upcoming wage and labor data.
The Australian economy is forecast to add 12k jobs, down from 76.3k in June, with the unemployment rate expected to remain at 4.4%.
RBA cash rate futures imply a 60% chance of a final 25bps hike by year-end, but the risk is skewed towards a longer pause due to already restrictive policy.
Australia’s attractive carry and commodity exposure remain key tailwinds for the Australian Dollar (AUD).