Australia: Expect little change in labor market conditions - NAB

The National Australia Bank (NAB) is out with a sneak peek at what to expect from Thursday’s Australian labor market report due at 0130 GMT.

Key Quotes:

“We expect little change in labor market conditions.

 Forecast is for a 5% unemployment rate in April (with upside risk) is based on our expectation for weak employment growth of 5k, but a tick down in the participation rate. 

Job advertisements and our internal data suggest that employment was weak in April, such that the unemployment rate could tick up to 5.1%. 

If the unemployment rate prints at either 5 or 5.1%, we believe this is consistent with the RBA remaining on hold in June, although it will retain its easing bias.”