AUD/USD has surged already over 1% despite the poor situation on commodities market. AUD thrives on today’s good report on labor market.
The unemployment rate fell to 5.9% in October from 6.2% in September. However, the data does not change fundamental situation and spike gives opportunity to take again short positions.
The Australian Data Office published that employment increased by 58600 posts while consensus was set on 15000 and previous reading was -800 (revision from -5100). The current employment rate is the lowest since May 2015.
Source: xStation, market reaction on the data
AUD has been gaining after strong data. Today’s report probably will not change the attitude of RBA, which has shown recently dovish intentions. However the data supports the market expectations for change of interest rates. Moreover, the market sees cut in December as not highly probable.