Fall in Australia’s unemployment rate sends dollar higher and stocks down, dimming hopes of interest rate cut

ABS data shows Australia’s unemployment rate fell to 3.9% in November, its lowest since March, dimming hopes of an interest rate cut. Photograph: James Ross/AAP

A surprisingly robust labour market in November, including more than 50,000 additional full-time jobs, has set back hopes of an early move by the Reserve Bank to cut interest rates. Stocks sank and the dollar rose on the news.

The jobless rate last month dropped to 3.9%, the Australian Bureau of Statistics reported on Thursday. Economists had forecast the rate would rise to 4.2% from October’s 4.1% level.