Australia's unemployment rate falls to 5.8%

Australia's unemployment rate fell to its lowest level in almost two years on Thursday, to 5.8%.

It came after the strongest period of employment growth the country has seen in the last 28 years, according to the Australian Bureau of Statistics.

Full time employment rose by 41,600, and part-time jobs were up by 29,700.

The participation rate, which refers to the number of people either in work or actively looking for it, also improved - up to 65.3% from 65% in October.

Analysts were quick to caution over the accuracy of the data, however, noting that 52,700 of the jobs gained could be attributed to a rotation in the sample groups used by the bureau.

"Even allowing for the rotation, there was some improvement in hiring versus market expectations of a modest correction", Barclays Australia chief economist Kieran Davies told the Guardian.

He said the headline number was likely overstated, but there was still an underlying improvement in the jobs market.

The rise in employment came as positive news for an economy which has struggled with a fall in mining investment over the last year.

Australia's Reserve Bank had cut interest rates twice in 2015, to 2.0%, to encourage non-mining sectors of the economy to fill the gap left by the decline in resource investment.

The Australian dollar spiked above US$0.73 after the figures came out, before falling back slightly.