Rising Aussie job figures put pressure on interest rates

SYDNEY - Australian employment soared for a fourth straight month as companies added three times more jobs than economists estimated, driving the nation's currency higher as traders bet the central bank will keep raising interest rates.

The number of people employed gained 35,200 in December from November, the statistics bureau said yesterday. The jobless rate fell to 5.5 per cent from a revised 5.6 per cent.

The hiring boom will drive growth, adding to pressure on central bank Governor Glenn Stevens to raise the overnight cash rate target in February by a quarter point for a record fourth straight meeting to 4 per cent.

The median estimate of 19 economists surveyed was for an increase of 10,000 jobs in December. Employers have added 135,700 jobs in the four months to December, of which 58 per cent were full-time positions. The number of full-time jobs gained 7300 in December and part-time employment increased 27,900, the report showed.

Rising employment has helped boost consumer confidence, spurring household spending that accounts for more than half of the economy.

- BLOOMBERG