Australia’s September Jobs Report: Unemployment at Five-Year High, RBA Rate Hike Bets Pared
| Pair | Now | Since publish |
|---|---|---|
| AUDUSD | — | — |
- Australia lost 39.3K jobs; unemployment hits 5-year high 4.7%.
- RBA hike bets pared; AUD drops on jobs shock.
- AUD/JPY extends losses, trading near 109.60.
Australia’s September employment data is scheduled for release on Thursday at 00:30 GMT, with market consensus anticipating an addition of 20,000 jobs and the unemployment rate holding steady at 4.6%. This follows an August report that saw 39,500 jobs added. The Australian Dollar (AUD) is poised for a notable reaction, especially if the jobless rate deviates from forecasts. A decline in unemployment to 4.5% could bolster the case for further tightening by the Reserve Bank of Australia (RBA), potentially supporting the AUD and short-term yields. Conversely, a rise to 4.7% might reinforce views that current monetary policy is adequately cooling the labor market.
Australia’s September 2026 jobs report has been released, showing the unemployment rate held steady at 4.7%, which was higher than the expected 4.6%. The economy lost 39.3K jobs during the month, significantly missing forecasts for a gain of approximately 20.0K. Full-time employment increased by 34.4K, while part-time employment saw a decrease of 73.7K. The participation rate also fell to 66.8%, below the anticipated 67.0%. The August employment change was revised downward to 29.3K from an initial 39.5K.
Following the release of Australia’s September jobs report, market participants have begun to pare back expectations for further Reserve Bank of Australia (RBA) interest rate hikes. The data, which showed the unemployment rate at a five-year high of 4.7%, has shifted the RBA debate from the timing of a potential hike to whether any further hikes will occur, with a pause now considered more likely. In currency markets, the Australian dollar (AUD) is lower and has remained near its post-data lows, underperforming against other major currencies. Specifically, the AUD/JPY cross extended losses for a second consecutive day, trading around 109.60 during Asian hours.