AUD Weakens to 3-Month Low Amid Mixed Labor Data
The Australian Dollar (AUD) weakened to its lowest level in nearly three months at 0.7025 against the US Dollar (USD), a development attributed to the country's mixed labor data and softening Purchasing Managers' Indexes (PMIs). Despite this decline, the AUD/USD pair managed to hold above key technical floors.
The Australian Bureau of Statistics reported that employment increased by 39,000 in August, exceeding expectations. However, this growth was offset by a rise in the Unemployment Rate to 4.6% and a decline in full-time positions.
The Reserve Bank of Australia (RBA) is expected to raise interest rates next week by 25 basis points, which may weigh on the AUD further. In contrast, the US Dollar maintained its bullish tone due to expectations of another Federal Reserve rate hike in October.