AUS 10Y Yield Eases After Mixed Jobs Report

2025-12-11 03:26 By Judith Sib-at 1 min. read

Australia’s government bond yield fell to 4.75%, retreating from a more than two-year high as investors reassessed the monetary policy outlook following a mixed jobs report.

Employment declined by 21,300 in November, following a 41,100 increase in October and against expectations of a 20,000 gain.

This points to a cooling labor market, which reduces pressure on the RBA to tighten policy immediately.

Unemployment rate, however, was unchanged at 4.3%, slightly below forecasts of 4.4%.

Markets now assign only a 23% probability of a rate hike in February, while the odds of a move in May have dropped to 70% from nearly 100% before the data.

The labor market report came after the RBA kept its cash rate at 3.6% and ruled out further rate cuts, while leaving the door open to future hikes as inflationary pressures show signs of rebuilding.



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