Australia Unemployment Rate Actual 5.7%, Expected 5.4%, Previous 5.2%
Release Explanation: This report measures 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”, the LFB Trade Team said.
Trade Desk Thoughts: The unemployment rate in Australia increased by 0.5 percent to 5.7 percent in February which is higher than analysts’ forecasts of an increase to 5.4 percent. The number of unemployed increased by 28.5K to 460,400.
Forex Technical Reaction: Economic reports from Australia continue to negative for the economy as was predicted by the RBA Governor after lowering the interest rate. “We are continuing to monitor the situation in Australian and the Australian dollar. The aussie is starting to come under increased pressure and although the pair has retraced the initial downward spike, as things settle down a move to 0.7000 may be possible”, said the LFB Trade Team Members.