Canada's Job Market Stumbles Amid Trade Uncertainty
Canada's employment numbers took an unexpected turn in August as job losses mounted across various sectors. The country saw a net loss of 41,700 jobs, with the biggest declines occurring in Ontario and Quebec.
The finance, insurance, and real estate category was particularly hard hit, shedding nearly 10,000 positions. Retail and wholesale trade also experienced significant drops, while hospitality sector employment declined as well.
On a more positive note, manufacturing posted a modest gain of 22,100 jobs in August, with the majority of this increase concentrated in Ontario.
The jobless rate remained steady at 6.4%, but economists surveyed by Bloomberg had predicted an uptick to 7.1%. The Bank of Canada's hawkish comments earlier in the week sent two-year Canadian bonds plummeting, only for them to rally after the release of the soft jobs data.
Meanwhile, the Canadian dollar took a hit against its US counterpart following the disappointing employment numbers.