Aussie soars on employment surge
The Australian currency on Thursday reached lifetime peaks against the euro and four-month highs on the greenback after official jobs data showed a surge in full time employment in August.
At 5pm today (AEST), the local unit was changing hands at $US0.9215/17, up from Wednesday's finish of $US0.9158/61. It was the highest close to a domestic session since August 6.
The Aussie was also trading at 77.16 yen, up from 76.51 yesterday, and at 72.67 euro cents, from 71.97.
Since 7am, it has ranged from $US0.9173 to $US0.9236.
The August jobs report beat expectations on all fronts with a near 31,000 jump in total employment and an over 53,000 surge in full-time employment, while the unemployment rate unexpectedly dipped to 5.1 per cent.
CMC Markets foreign exchange dealer Tim Waterer said "Those employment numbers made for good reading across the board from a market standpoint."
Within minutes of the release of job figures, the Australian dollar jumped as far as $US0.9237 while bill and bond futures tumbled as speculators rushed to price in the chance of rates rising as soon as next month.
"The number the traders took note of was the full-time employment figure," Mr Waterer said.
ABS' report showed that 53,100 full-time jobs were created in August - the biggest monthly increase in more than two years.
''The data means that traders are pricing in a higher chance of a rate move by the RBA, potentially in October.''
According to Mr Waterer, investors would concentrate on a key employment indicator due from the US department of Labor during offshore trade.
The market is expecting a reading of 472,000 jobless claims, matching the previous week's result.