AAP, with a staff reporter
The Australian dollar is higher after strong local employment figures made the possibility of another official interest rate cut less likely.
At 1700 AEST Thursday, the local unit was trading at $US1.0243, up from $US1.0201 on Wednesday.
The unemployment rate fell 0.1 per cent to 5.5 per cent in April and the total number of people with jobs rose by 50,100, exceeding market expectations of a gain of 11,000.
After the figures were released, the Australian dollar jumped three quarters of a US cent to an intraday high of $US1.0255.
RBC Capital Markets senior currency strategist Sue Trinh said the Australian dollar outperformed most of the major currencies on the back of the jobs figures.
"We are mindful of the volatility in the headline employment numbers, which has stepped up recently, but the reality is that monthly employment has averaged a solid 26,500 this year," she said.
"The firmer tone to the labour market appears consistent with what is shaping up to be a healthy first quarter gross domestic product print and reasonable economic growth in early 2013."
Ms Trinh said the offshore session on Thursday night would focus on the release of weekly US jobless claims and UK industrial production data.
On Friday, the Reserve Bank of Australia will release its quarterly Statement on Monetary Policy, which includes its latest economic forecasts.