Australia employment unexpectedly slides

Business Recorder reported that net employment in Australia shrank by 39,300 in September, well below an expected gain of about 20,000, while the jobless rate held at 4.7 percent. The drop was the steepest monthly decline since February last year, with part-time roles down 73,700, according to Australian Bureau of Statistics figures released on Thursday. August's gain was revised down to 29,300.

Traders trimmed their bets on another rate increase by the Reserve Bank of Australia after the figures. They now put close to a 90 percent chance on the central bank keeping its cash rate at 4.6 percent in November, compared with 66 percent before the release. The probability of a December move fell to 31 percent, and the Australian dollar eased 0.2 percent to USD0.6956.

The RBA has urged caution in reading the monthly jobs figures because the survey methods changed, noting that forward-looking signals such as job advertisements were consistent with a steady labour market, according to minutes released on Tuesday. After four increases this year, the rate now stands at 4.6 percent, yet annual headline inflation was 4 percent in August and core inflation stood at 3.6 percent, both above its 2 to 3 percent target band. Oxford Economics Australia economist Oscar Guth expects unemployment to climb beyond 4.8 percent late in 2027.