The Australian dollar edged sharply higher against its major rivals following the government report showed that Australia’s unemployment rate declined lower-than analysts had predicted.
The aussie advanced to a 2-week high against the euro and NZ dollar, 8-day high against the US dollar and a weekly high against the yen.
The unemployment rate in Australia came in at a seasonally adjusted 5.3 percent in January, the Australian Bureau of Statistics said today. That roundly beat expectations for a rate of 5.6 percent following the 5.5 percent rate in December.
Employment increased 52,700 in January – blowing away expectations for an increase of 15,000 following the addition of 35,200 in December.
The participation rate came in at 65.3 percent, topping expectations for 65.2 percent – the same as in December.
The aussie climbed to a 2-week high of 1.5549 against the euro at 7:50 pm ET Wednesday, up around 1 percent from Wednesday’s North American session closing value of 1.5698. On the upside, the Australian dollar may find target near the 1.55 level.
The Australian dollar appreciated 0.6 percent to reach a 2-week high of 1.2723 against the NZ dollar around 7:55 pm ET Wednesday from Wednesday’s New York session close of 1.2647. The aussie-kiwi pair is presently worth 1.2713 and rising above the 1.2780 resistance could set its strongest level in more than 2 months.
The Australian dollar advanced to an 8-day high of 0.8865 against the US dollar and a weekly high of 79.88 against the Japanese yen at 7:50 pm ET, compared to yesterday’s closing values of 0.8756 and 78.73, respectively. On the upside, the Australian currency may find resistance levels at 0.895 against the buck and 80.2 versus the yen.