Australian dollar jumps above 83 cents

11 May, 2007

The Australian dollar shot back above 83 cents to a two-week high on Thursday after data showed Australia's unemployment rate fell to a 32-year low in April, backing the case for an interest rate rise later this year.
Financial markets moved quickly to price in a greater risk of a rate increase after the robust employment report was much stronger than expected, with 49,600 new jobs created in April. Forecasts had centred on only 10,000 new jobs.
The Aussie dollar was quoted at $0.8330/35, compared with $0.8291/94 here late on Wednesday. It ranged from $0.8273 to $0.8335, not far off a 17-year high of $0.8390 set on April 18.

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