The Aussie unemployment rate has soared and make a mockery of the attempts of the opposition here to paint New Zealand’s economy as a dog.
Unemployment has jumped to the highest level in more than 10 years, following a surprise fall in jobs growth.
The jobless rate rose to a seasonally adjusted 6.4 per cent from 6 per cent in June, its highest point since August 2002.
The economy lost 300 jobs in July: While 14,500 full-time positions were added, 14,800 part-time jobs disappeared.
The participation rate edged 0.1 per cent higher to 64.8 per cent, which does not explain the jump in the headline unemployment rate.
The Australian dollar plunged more than half a cent from around 93.55 US cents down to 92.96 US cents.
It is the first time since 2007 than Australia’s unemployment rate has been higher than the US, which sits at 6.2 per cent.
“Thereâ€™s no question, this tells us the labour market is weak,” HSBC chief economist Paul Bloxham said.