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AAP
AAP
Adrian Black

Robust jobs market risks adding fuel to inflation fire

Inflation Belinda Allen Australia CBA RBA
Resilience in Australia's jobs market is likely to maintain upward pressure on interest rates. (Bianca De Marchi/AAP PHOTOS)

Borrowers are expected to face higher interest rates in 2026 as fresh data shows the jobs market remains resilient and likely to keep upward pressure on inflation.

Employers are still adding thousands of new jobs, while annual wage growth eased slightly from 3.2 per cent in November to 3.1 per cent in December, according to Commonwealth Bank's new monthly employment report.

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