USDCAD Jumps On Weaker Employment form Canada

Key Points:

• Employment Change: -1.4K vs. +22.5K expected
• Unemployment Rate: 6.4% vs. 6.3% estimated (previously 6.2%)
• Full-Time Employment: -3.4K (previously -35.6K)
• Part-Time Employment: +1.9K (previously +62.4K)
• Participation Rate: 65.3% (down from 65.4%)
• Average Hourly Wages YoY: +5.6% (up from +5.2% last month)

Additional Highlights:

• Employment Rate: Fell 0.2 percentage points to 61.1%.
• Unemployment Rate: Increased by 0.2 percentage points to 6.4% in June and has risen 1.3 percentage points since April 2023.
• Demographic Changes:
  • Employment fell among young men aged 15 to 24 (-13,000; -0.9%).
  • Employment increased for core-aged women (aged 25 to 54) (+19,000; +0.3%).
• Industry Changes:
  • Declines in transportation and warehousing (-12,000; -1.1%) and public administration (-8,800; -0.7%).
  • Increases in accommodation and food services (+17,000; +1.5%) and agriculture (+12,000; +5.5%).
• Regional Changes:
  • Employment declined in Quebec (-18,000; -0.4%).
  • Employment increased in New Brunswick (+3,000; +0.8%) and Newfoundland and Labrador (+2,600; +1.1%).
• Total Hours Worked: Down 0.4% in June, but up 1.1% year-over-year.
• Average Hourly Wages: Increased by 5.4% year-over-year in June, following a 5.1% rise in May (not seasonally adjusted).
• Returning Students Employment Rate: Fell to 46.8% in June from 51.7% a year earlier (not seasonally adjusted).

Overall, the report indicates weaker-than-expected job growth, a rising unemployment rate, and significant changes across various demographics and industries. The increase in average hourly wages and the shifts in full-time and part-time employment also highlight the dynamic changes in the labor market.