Australia's Unemployment Rate Hits 4.6% as RBA Hike Odds Hold Firm

The Australian economy added 39,500 jobs in August, but unemployment rose to 4.6%, its highest level in nearly five years.

The unexpected increase in unemployment rate was not enough to deter the Reserve Bank of Australia from hiking interest rates next week. The odds of a 25-basis-point increase on September 29 remain at 96.5%.

Russel Chesler, VanEck's investment and capital-markets head, said the slight softening in the labor market 'isn't enough to stop the RBA raising rates next week.'