Canada employment change greater than expectations
- Prior -17.3K
- Employment change 59.9Kversus 20.0 K estimate
- unemployment rate 5.4% versus 5.3% estimate. Last month 5.2%
- participation rate 65.7% vs 65.5% last month
- full-time 109.6K versus -32.7K last month
- part-time employment -49.8K versus 15.5K last month
- average hourly earnings YoY 4.2%
Employment in June rose by 60,000 (+0.3%), predominantly in full-time positions (+110,000; +0.7%). However, the unemployment rate also increased to 5.4% (+0.2 percentage points) due to a larger number of job seekers. The boost in employment was concentrated among young men aged 15 to 24 and men aged 25 to 54, both groups seeing an increase of +31,000. Women’s employment remained virtually unchanged in June. Significant employment increases were observed in Ontario (+56,000), Nova Scotia (+3,600), and Newfoundland and Labrador (+2,300), while Prince Edward Island experienced a decline (-2,400). Employment growth was seen in wholesale and retail trade (+33,000), manufacturing (+27,000), health care and social assistance (+21,000), and transportation and warehousing (+10,000). In contrast, construction, educational services, and agriculture reported decreases. Average hourly wages rose by 4.2% on a year-over-year basis in June, reaching $33.12, while total hours worked remained nearly unchanged but showed a 2.0% increase year-over-year.
- The gain in employment was the largest since January 2023.
- YoY average hourly wages rose 4.2%. This is the slowest year over year growth in average error wages since May 2022
The USDCAD has moved lower helped also by the modest rise in the US nonfarm pay data. Although the wage data was a bit of an issue in the US.
USDCAD falls to the 38.2% and swing area