Overview
- The ABS reported employment rose by about 42,000 in October, pulling the unemployment rate down to 4.3% from 4.5% and beating forecasts for 4.4%.
- Full-time jobs increased by 55,300 while part-time roles fell by 13,100, with participation holding near 67% and hours worked edging higher.
- Underemployment declined to 5.7% and broad underutilisation fell to 10.1%, indicating less slack than in prior months.
- NAB joined Commonwealth Bank in dropping forecasts for 2026 rate cuts, while ANZ still expects one cut in February and Westpac projects cuts in May and August.
- Westpac and other analysts said the RBA is likely to look through monthly volatility and prioritize upcoming CPI prints, as the Australian dollar strengthened on the data.