Recent volatility in global financial markets has been sparked by fears that the US Federal Reserve will overshoot on lifting interest rates to combat heated inflation pressures in the US.
On the election campaign trail in the southern Queensland seat of Blair, the prime minister was asked whether he could guarantee the Australian economy won't fall into a recession as its faces the same predicament of rising cost of living pressures and interest rates.Â
"Rising interest rates and rising inflation, as we all know, is the product of what we're seeing with a global set of forces on Australia," Mr Morrison said.
"Unemployment is at four per cent and falling. That is not the sign of a weakening economy. That's the sign of a strengthening economy."
The latest jobs figures will be released on Thursday and just days out from polling day on Saturday.
Economists expect the unemployment rate to have eased to 3.9 per cent in April from four per cent in March, the lowest level since in 1974, as 30,000 people joined the workforce.
However, Wednesday's crucial wages figures will confirm that despite all the government's chest beating about a strong economy, voters' pay is growing at about half the rate of inflation.
The wage price index - data used by the Reserve Bank of Australia and Treasury to assess wages growth - is forecast by economists to have grown at a slightly more upbeat 0.8 per cent in the March quarter.
However, this would still leave the annual rate at 2.5 per cent.
While the highest rate since 2014, it is substantially below the annual rate of inflation at 5.1 per cent as of the March quarter.
