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Rate hike now imminent: ANZ

New data from ANZ shows the Reserve Bank may have to raise the official cash rate sooner rather than later.

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According to the latest ANZ Job Advertisement Series, total job advertisements on the internet and in newspapers increased by one per cent in April to be 20.5 per cent higher than in April 2010.

This is the twelfth consecutive monthly rise in total job advertisements and the annual rate of growth in job advertising remains well above its long-term trend after being depressed in 2009.

ANZ’s head of Australian economics and property research Ivan Colhoun said the latest increase in job advertisements has forced the lender to review its rate forecast, advancing its forecast of the next interest rate hike from July to early June.

“Job advertising continued to grow in April, suggesting that overall the Australian economy continues to create jobs in spite of the diverse rates of economic activity by region and by industry sector,” Mr Colhoun said.

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