The Australian dollar held steady around $0.667 on Thursday, trading near a three-month high, as investors weighed the latest labor market figures for clues on the Reserve Bank’s policy direction. The economy unexpectedly lost 21,300 jobs in November, driven entirely by full-time positions, while fewer people entered the workforce, keeping the unemployment rate steady at 4.3%. The softer-than-expected data suggest a gradual easing in the labor market, prompting traders to push back expectations for rate hikes to the second half of 2026, from earlier bets on May. However, the central bank still views the labor market as tight, pointing to high job vacancies, widespread staffing shortages, rising labor costs, and indicators that the economy remains near full employment. Elsewhere, the Aussie found support from a weaker US dollar after the Federal Reserve lowered rates by 25 basis points, while Chair Powell’s post-meeting comments surprised markets expecting a more hawkish tone.