The Rabobank Research Team provided insights on Australia’s employment data for March and its implications on the Reserve Bank of Australia's (RBA) interest rate outlook.

Key quotes

“Aussie labor market data released earlier today saw some mean-reversion in the headline employment figures.”

“According to the ABS, Australia shed 6,600 jobs in March after gaining 117,600 in February.”

“Rabobank had been expecting 10,000 jobs to be lost - which puts us equal closest to the pin amongst forecasters - but despite a 1-tick rise, the unemployment rate of 3.8% remained below our forecast (and below the market consensus) because of a fall in participation.”

“All-in-all, it was another strong result for the Aussie labor market that does nothing for the view that Australia will be cutting rates imminently.”