Australian Dollar extends dismal jobs data-led slump; hits one-week low despite weak USD
- AUD/USD comes under intense selling pressure as dismal Aussie jobs data dampens RBA hike bets.
- Hawkish Fed expectations and geopolitical risks limit the USD slide, further weighing on spot prices.
- Traders now look to the US PPI for a fresh impetus ahead of Fed Chair Warsh’s speech on Friday.
The AUD/USD pair attracts heavy selling on Thursday following the disappointing release of Australian jobs data, retreating further from levels beyond the 0.7000 psychological mark, or a two-week high, touched the previous day. Spot prices extend the intraday descent through the early European session and weaken further below mid-0.6900s, hitting a one-week low in the last hour.
The Australian Bureau of Statistics (ABS) reported that the number of employed people declined by 39.3K in September, reversing the previous month's rise of 39.5K and missing estimates of a 20K increase by a big margin. Furthermore, the Unemployment Rate edged higher to 4.7% from 4.6% in August, dampening hopes for another rate hike by the Reserve Bank of Australia (RBA). This is seen as a key factor undermining the Australian Dollar (AUD) and exerting downward pressure on the AUD/USD pair.
The US Dollar (USD), on the other hand, recovers slightly from a one-week low, touched earlier this Thursday, stalling the previous day's sharp retracement slide from its highest level since April 2025, touched in reaction to the hot US consumer inflation figures. Investors seem convinced that the US Federal Reserve (Fed) will raise borrowing costs by the end of this year. Apart from this, geopolitical uncertainties counter a slump in US bond yields and support the USD, contributing to the AUD/USD pair's decline.
Traders now look forward to the release of the US Producer Price Index (PPI), later during the early North American session. This, along with Fed Chair Kevin Warsh's speech at the IMF and World Bank in Bangkok on Friday, will be looked upon for more cues about the future policy path. The outlook, in turn, will play a key role in influencing the USD price dynamics. Nevertheless, the aforementioned bearish fundamental backdrop backs the case for a further depreciating move for the AUD/USD pair.
AUD/USD 4-hour chart
Technical Analysis
Against the backdrop of the previous day's failed attempted to build on momentum beyond the 100-period Exponential Moving Average (EMA), Thursday's breakdown below the rising support line validates the negative outlook. The AUD/USD pair seems vulnerable to retest the structural anchor of the prior uptrend near 0.6905, where buyers could attempt to slow the decline if selling pressure extends.
On the topside, initial resistance appears at the former trend-line support turned barrier around 0.6961, ahead of the 100-period EMA at 0.6998, which reinforces the cap on any rebound attempts.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Australian Dollar Price Today
The table below shows the percentage change of Australian Dollar (AUD) against listed major currencies today. Australian Dollar was the strongest against the US Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.47% | -0.37% | -0.24% | -0.16% | 0.56% | -0.29% | -0.53% | |
| EUR | 0.47% | 0.09% | 0.23% | 0.32% | 1.06% | 0.14% | -0.06% | |
| GBP | 0.37% | -0.09% | 0.13% | 0.23% | 0.94% | 0.07% | -0.17% | |
| JPY | 0.24% | -0.23% | -0.13% | 0.06% | 0.82% | -0.08% | -0.30% | |
| CAD | 0.16% | -0.32% | -0.23% | -0.06% | 0.73% | -0.12% | -0.36% | |
| AUD | -0.56% | -1.06% | -0.94% | -0.82% | -0.73% | -0.85% | -1.10% | |
| NZD | 0.29% | -0.14% | -0.07% | 0.08% | 0.12% | 0.85% | -0.25% | |
| CHF | 0.53% | 0.06% | 0.17% | 0.30% | 0.36% | 1.10% | 0.25% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Australian Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent AUD (base)/USD (quote).
Nothing in this material constitutes investment advice, personal recommendation, investment research, an offer, or a solicitation to buy or sell any financial instrument. The content has been prepared without consideration of your individual investment objectives, financial situation, or needs, and should not be treated as such.
Past performance is not a reliable indicator of future performance and/or results. Forward-looking scenarios or forecasts are not a guarantee of future performance. Actual results may differ materially from those anticipated.
Mitrade makes no representation or warranty as to the accuracy or completeness of the information provided and accepts no liability for any loss arising from reliance on such information.
Recommended Articles
