What happened
ABS figures for August showed the unemployment rate increased to 4.6%, with 9,300 more unemployed people on a trend basis. While full-time jobs fell by 6,300, total employment rose by 39,500 due to gains in part-time work and higher participation.
Why it matters here
With underlying inflation sitting at 3.6%, the RBA cannot easily declare victory over price growth. However, a weakening labour market dominated by part-time job growth makes further interest rate increases riskier for economic stability and consumer confidence.
What to watch
Upcoming ABS monthly labour force reports and quarterly inflation releases ahead of future RBA board meetings.
Source
moneymag.com.au