Australia Unemployment Rate Actual 5.4%, Expected 5.9%, Previous 5.7%
Release Explanation: This report measure the percent of unemployed persons in the labor force. The unemployment rate can be a leading indicator of the overall health of the labor market. Higher unemployment leads to less income for Australian workers who, in turn, may reduce consumption. As consumer spending contributes to a majority of Australia’s GDP, developments in the labor market directly affect prospects for Australian growth.
Trade Desk Thoughts: The unemployment rate in Australia decreased by 0.3 percent to 5.4 percent in April which is better than analysts’ forecasts of an increase to 5.9 percent. The unemployment rate decreased by 35.3K to 614,600. The number of persons looking for full time work decreased to 443,500 while those looking for part time employment decreased to 171,100.
Forex Technical Reaction: The aussie has gained 60 pips since the release and is trading 45 pips above the Asian open. The pair is trading near the 0.7530 level.