Canada's Jobs Market Set for Steady Growth in July

Royal Bank of Canada's research arm, RBC Economics, is forecasting a stabilizing Canadian jobs market for July. The forecast suggests around 5,000 new jobs will be added, with unemployment holding steady at 6.5%. This would mark an extension of the gains seen in May and June.

RBC notes that job postings data has remained relatively unchanged heading into July, indicating a stabilization of employers' hiring appetite despite ongoing uncertainty related to US trade policy.

The bank expects wage growth to slow down again due to 'slack' in the labor market, where available workers outnumber open roles. This could have implications for inflation expectations and interest rates.