Unemployment Data
Australia's unemployment rate rose to 4.3% in June, up from 4.1% in May, with the news coming after the Reserve Bank surprised markets in July by keeping interest rates on hold.
The sharp rise in unemployment in June makes the RBA's decision to leave rates on hold earlier this month look like a policy mistake.
According to the Bureau of Statistics data, employment increased by 2,000 people in June, but the number of officially unemployed people jumped by 33,600.
Since employment (+2,000) and unemployment (+33,600) both increased in June, the size of the active labour force grew by 35,600.
The growth in the labour force helped the participation rate to increase a little, from 67 to 67.1% — putting it just short of its record-high of 67.2% in January.
But part-time employment grew by 40,000 people, while full-time employment fell by 38,000 people, which contributed to a noticeable decline in monthly hours worked in all jobs and a slight rise in the underemployment rate.
Youth unemployment (people aged 15 to 24 years) surged from 9.5 to 10.4%, its highest level since November 2021.
An interest rate cut is expected in August
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