This index is an indicator of inflation in labour costs and tightness of labor markets.
When setting interest rates, the Reserve Bank of Australia is very attentive to this. A positive reading for the AUD is considered bullish, and a negative reading is considered bearish. The data was compiled with Australia Wage Price Index, fourth quarter 2021 (+0.7% vs. 0.7% expected and year-on-year, 2.3% vs. 2.4% expected. The odds of an RBA rate increase in June were reduced to below 50% after the data.
Chart AUD/USD M5As shown in the five-minute chart above, the AUD fell against the dollar.