Unemployment rises to 4.6%, but a September interest rate hike still looks likely - The Conversation

Unemployment rose to 4.6% in August, new Australian Bureau of Statistics figures show . That’s the highest it’s been since November 2021. Since the start of this year, Australia’s unemployment rate has increased by 0.5 percentage points, up from 4.1% last December. However, that upward trend appears unlikely to dissuade the Reserve Bank board from lifting interest rates next week, given the central bank’s recent stern warnings about fighting inflation. On Tuesday, Reserve Bank Governor Michele Bullock warned that unemployment may need to rise further to help rein in inflation: I think [an unemployment rate] between 4.5% and 5% will probably take enough heat out of the labour market that it’ll ease pressure on inflation.