Australia’s unemployment rate jumps to 4.5% with markets slashing chance of more interest rate hikes

Surprise rise in jobless rate will give Reserve Bank more reason to delay another interest rate hike at June meeting Follow our Australia news live blog for latest updates Get our breaking news email, free app or daily news podcast Australia’s unemployment rate has jumped to 4.5% in April to reach the highest in about four and half years, amid fears rising interest rates and the global oil crisis will smash economic growth. The surprise rise in unemployment will provide the Reserve Bank with more reason to hold off on a fourth rate hike at its next meeting in June, as financial markets slashed the chance of more interest rate rises this year. The number of employed people unexpectedly fell by 18,600 in the month – the first decline this year – dragging the jobless rate up from 4.3%, according to the Australian Bureau of Statistics. The chief economist at Betashares, David Bassanese, said there were “tentative signs suggesting the labour market is buckling”. “Of course, whether the RBA raises rates again depends on inflation outcomes and whether the labour market weakness evident in April was merely a quirky one-off or part of a softening trend,” Bassanese said. The ch