Canada’s job market on track for one of its best years on record. The economy gains 53,700 job, blowing past forecasts
Canada posted another surprisingly strong month of job gains in a labour market that is on track for one of its best years on record.
The economy added 53,700 jobs last month, Statistics Canada said Friday in Ottawa, following a gain of 81,100 in August. Canada has now added 358,100 since December, the most in the first nine months of a year since 2002.
The strong print will only reaffirm Bank of Canada expectations that the economy has developed a certain amount of resilience to trade headwinds and global economic uncertainties, giving it ammunition to buck the global trend of lower interest rates.
“Canada’s labour market seems to have been vaccinated against the global economic flu going around,” Avery Shenfeld, chief economist at CIBC World Markets Inc., said in a note to investors.
The rise in employment dropped the unemployment rate to 5.5 per cent, from 5.7 per cent in August, near the lowest in the past four decades.
Economists were anticipating just 7,500 jobs in September, with the unemployment rate unchanged. Canada’s dollar jumped after the report, rising 0.5 per cent to C$1.3227 against its U.S. counterpart at 8:33 a.m. Toronto time. Yields on government two-year bonds increased 9 basis points to 1.63 per cent.