Australia reported a drop of 0.1% in the unemployment rate, from 5.7% to 5.6%, but this is basically the only positive detail in the report. The participation rate is down to 64.4%. The land down under gained only 9.8K jobs against 15K predicted. In addition, this comes on top of a downwards revision for September: a loss of 29K jobs instead of -9.8K originally reported.
Full-time employment rose by 41.5K, which is a positive point, but on top of a downwards revision for the previous month, to a loss of no less than 73K. Part-time employment is down by 31.7K in October.
Zooming out to the bigger picture, the trend has turned negative for the first time since 2013. The Australian authorities stress that the trend is no less important than the month-over-month change.
AUD/USD had already dropped under 0.75 before the release, and this certainly does not help it recover. 0.7467 to 0.75 is the current narrow range. Further support awaits at 0.7440 and 0.7375. Resistance is at 0.7580.
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