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Australia's unemployment rate falls to 5.5 pct

Source: Xinhua| 2018-02-15 11:02:03|Editor: Chengcheng
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SYDNEY, Feb. 15 (Xinhua) -- Australia's unemployment rate for the month of January dropped to 5.5 percent on Thursday, in line with market expectations.

For a record 16 straight months, Australia has managed to strengthen its labour force and there are now more Aussies in work than ever before, at 12.453,50 million.

But although the Australian Bureau of Statistics figures were positive overall falling from 5.6 percent in December last year, there was a substantial loss of full time work.

While 65,900 part-time positions were created over the busy Christmas holiday period, full time roles declined by 49,800, resulting in an increase of 16,000 jobs nationwide in seasonally adjusted terms.

"High underemployment means that the unemployment rate will have to fall well below 5.0 percent before the labour market generates much wage and price inflation," Capital Economics chief Australia and New Zealand economist Paul Dales said.

"So while the continued strength of the labour market will support consumption growth this year, without much more wage inflation the Reserve Bank of Australia isn't going to raise interest rates."

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