Canada: Labour market recovery still has a long way to go – NFB
|The July Canadian employment report showed a positive change in employment by 419K. Analysts at the National Bank of Canada point out the recovery continued in July as jobs rose for the third month in a row but they explain the gains recorded between May and July represent only a fraction of the 3 million jobs lost in the prior two months.
Key Quotes:
“Total employment remains down 7.0% (1.3 million jobs short) from its February peak, that is more than double the maximum drop suffered during the 2008-09 financial crisis.”
“The pace of job creation will continue to slow and some slack will likely remain for some time as several industries will continue to operate under capacity with physical distancing acting as a brake on their activities.”
“We expect consumption to be well supported in Q3 as government income support is more than compensating for labour income losses at this point. The phase out of this extraordinary stimulus combined with the end of a payment deferral period for borrowers is more concerning for the quarters ahead.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.