Australia employment edges up in Oct, jobless holds at 3 year low

[SYDNEY] Australia's jobless rate held at a three-year trough of 5.6 per cent in October but employment rebounded only modestly from a sharp fall the previous month, a mixed report that did little to alter the outlook for steady interest rates.

Thursday's data from the Australian Bureau of Statistics showed employment rose a net 8,800 in October, below forecasts of a 20,000 gain. September's report was revised downward to show a drop of 29,000.

Full-time jobs did bounce by 41,500 in October, but that followed a huge drop of 74,300 the previous month and extended a trend toward part-time work that has bedevilled the labour market all year.

Analysts recommended against reading too much into any one month's figures as the survey had been plagued with sampling problems.

Market reaction was minimal as the Reserve Bank of Australia (RBA) has recently signalled interest rates were firmly on hold after cuts in August and May.

Interbank futures only imply a 20 per cent probability of an easing next year, and investors are even toying with the idea of a hike sometime in 2018.

The local US dollar was little changed on the jobs report at US$0.7482.

REUTERS