Australia’s unemployment rate unexpectedly rose to 4.2% in June, prompting speculation that the Reserve Bank of Australia (RBA) could soon ease interest rates. The rise in joblessness comes as consumer spending slows and inflation shows signs of cooling. Economists say the uptick in unemployment gives the RBA flexibility to support growth without risking a rebound in inflation. Markets have already priced in a potential rate cut in the coming months. As the global economy faces headwinds, Australia may pivot from hawkish to dovish monetary policy sooner than expected.
Climb in Australian Jobless Rate Opens Door to Rate Cut
