Unemployment rate in Australia falls back to 3.5% despite interest rate rises

Workers are seen on a construction site along the Yarra River in Melbourne. Australia’s economy created more jobs than expected in February, feeding expectations the RBA may consider further rate rises. Photograph: James Ross/AAP

Australia’s economy added almost 65,000 jobs in February, more than economists expected, indicating hiring was holding up amid the record run of interest rate rises.

The jobless rate fell to 3.5%, seasonally adjusted, compared with January’s reported 3.7%, the Australian Bureau of Statistics said. Economists had predicted employers added a net 50,000 jobs for last month, leaving an unemployment rate at 3.6%.