The Australian Bureau of Statistics (ABS) is expected to report an additional 25,000 new jobs in August, while the unemployment rate is projected to remain steady at 4.2%, with most of the increase coming from full-time employment.

However, if Australia's unemployment rate remains unchanged, it could further encourage the Reserve Bank of Australia (RBA) to maintain its tight monetary policy. But if there are indications that the labor market is easing, it may create enough pressure to prompt the central bank to cut interest rates again.

The Reserve Bank of Australia has kept its interest rate at 4.35% since the most recent hike in November 2023, as Australia's inflation rate rose to 3.8%, amid higher inflation across goods and services.

Source: Fxstreet