S&P/ASX 200 (INDEXASX:XJO) (ASX:XJO) opened positively and trended 20 points higher before a sharp drop at 11.30am on the unemployment data.
The data itself wasn't that shocking, with unemployment for March coming in at 5.0%, the expected level.
The good news largely outweighed the bad in the data, which means the economy may not be in need of stimulus in the form of a rate cut.
[VIDEO] Mid-Session: The Australian sharemarket has given back all its 0.4% in gains following a stronger than expected employment report which reduces chances of a rate cut in coming months. https://t.co/Ee86ZpMhco #ausbiz— CommSec (@CommSec) April 18, 2019
Pre-market: S&P/ASX 200 futures pointing to slightly higher open heading into Easter
ASX 200 futures are suggesting a slightly higher open this morning in the last trading session before the Easter weekend.
The S&P 500 Index (INDEXSP:.INX) closed down 6.61, -0.23% to 2,900.45 and the Nasdaq Composite (INDEXNASDAQ: .IXIC) closed down 4.15 -0.052% to 7,996.08.
The AUDUSD is unchanged over the past 24 hours at 0.7177.
Gold was up slightly to US$1,276 per ounce while WTI Crude Oil was down slightly to US$63.70 per barrel.
Unemployment data at 11.30am could be crucial for interest rates
The Australian Bureau of Statistics (ABS) will release its monthly unemployment data today for the month of March 2019.
Economists have forecast an unemployment rate of 5.0% vs last month’s rate of 4.9%.
Unemployment alongside inflation are the two key metrics the RBA uses when deciding interest rates so any move higher for unemployment builds the case for a rate cut.