On Thursday, it was known that the Australian Bureau of Statistics published the Employment Change data. Based on that information, it can be seen that it only grows up for about 29.1 jobs in January. Is it a good thing? Unfortunately, it is not.
That number is below the expectation of 40k and that is even lower than the previous period data. You should know that before it noted for 50k jobs. The decline of that Australian Employment Change was caused by several different factors.
The biggest factor is the part-time job which was slipped down up to 29.8k right now. On the other side, the full-time one increased from 35.7k and became 59k. In fact, a lot of people and especially the market participants are highlighting that.
The Number Still Show the Recovery Process
It was known that the newest employment data failed to fulfill the expectation. The ABS head of statistics, Bjorn Jarvis said that the recent numbers are still showing the existence of the continuous recovery. It is especially in the employment market that happened in the country.
However, people must know the context and boundaries. The condition above can be used if people consider the calculation period which was done at the beginning of this year. For your information, January 2021 is the four-in-a-row monthly increase.
Why? It is because the job field in Victoria continues to recover. That can be a really great situation awaited by so many people for now. Nationally, the current job of the field there is only 59k. That is even lower than in March 2020.
At the beginning of this pandemic, many people knew that the jobless or unemployment data was not good. However, it is in a recovery right now and it needs time for sure. Vaccination takes an important role to make this world better again.
Updates for the Unemployment Rate
In a different release, ABS also published the unemployment rate data. Based on that information, the rate declined by about 0.2 percent. So that it becomes 6.4 percent in January this year. That number is better than the decline expectation of 6.5%.
Overall, the employment data release in Australia this morning still reflected the continuous recovery as the impact of the coronavirus pandemic. That is why; the decrease that happened in January did not have too much impact on the Australian Dollar.
The pair of AUD / USD was under pressure in several last days. They are sold at 0.7760 when this news is released. It means that the currency pair was up by 0.14 percent from the daily open level. The price is still volatile until now.
That situation follows the USD rebound effort which is supported by the obligation yield increase. However, the Australian Dollar in fact still has a chance to continue its rally. It is because the release of The Fed meeting report last night and its update.
The Result of the Fed Meeting
Based on the information, that report strongly stated the view of the United States Central Bank. It is mostly about the long road that must be taken before applying the monetary policy because the economic condition is still far from the target.
The data of the PMI or Purchasing Managers Index in February 2021 shows that the economy of Australia is still growing. The PMI manufacture and service score was corrected in January. However, each is still so expansive until now.
Based on the note, each is known for 56.6 and 54.1. It is an added good news after the level of unemployment for January was reported to decrease from 6.5 percent and become 6.4%. Now, the market is still waiting for a further update about it.
