Aussie Dollar Surges as Employment Booms, Dollar Holds Firm Pre-Election
The Australian dollar increased after impressive employment figures, overshadowing China's property sector news. Meanwhile, the U.S. dollar remained strong near an 11-week high, boosted by upbeat economic data and potential Trump election win, impacting global currencies and central bank rate expectations.
The Australian dollar soared on Thursday, bolstered by a strong employment report that exceeded forecasts for the sixth consecutive month. This overshadowed ongoing developments in China's property sector. The U.S. dollar also maintained its strength, nearing an 11-week high ahead of a possible Trump victory in the forthcoming U.S. election.
Official data showed that Australia's employment surged by 64,100 in September, far surpassing expectations of a 25,000 increase. This robust jobs growth led traders to reconsider the prospect of an interest rate cut by the Reserve Bank of Australia in December. Economists suggest that the RBA may hold off any cuts until mid-next year.
The broader currency market saw fluctuating performances, with the dollar dominating after uplifting U.S. economic data, while the New Zealand dollar faced declines, following the release of domestic inflation data within the central bank's target range. These developments continue to shape expectations for central bank policy actions globally.
(With inputs from agencies.)
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