On Friday, data from Statistics Canada had unmasked that the Canadian economy, the ninth-largest across the globe by nominal GDP (Gross Domestic Product) and the fifteenth-largest by PPP (Purchasing Power Parity), had created a decent number of jobs in September, as employment roared back to a pre-pandemic level with unemployment rate plunging to a fresh 18-month low, suggesting a brightening up of outlook over coming months as delta cases ebbed and a longer-than-anticipated supply chain constrain seems to be waning.
In the latest flashpoint of an upbeat labour market activity in Canada, a riant employment data released earlier in the day came against the backdrop of a US labour market which has been gaining tractions lately despite missing September nonfarm payrolls estimate, as layoffs had dipped sharply and hourly wages rose to 0.6 per cent compared to a 0.4 per cent a month earlier.
Aside from that, data from Statistics Russia also had reported last month that the nation’s employment had reached a pre-pandemic level, however, leading EU economies had still been scuffling amid a lingering worker shortage with UK facing off a cataclysmic worker shortage which could potentially hinder economic activities during an all-important holiday season ahead.
Canada’s employment pushes back to pre-pandemic levels
According to data from Statistics Canada, the N. American G20 economy had added 157,100 new full-time jobs in September with unemployment rate retreating to 6.9 per cent, the lowest since a pre-pandemic peak reached on February 2020, beating an analysts’ estimate of jobless rate of 7.1 per cent.
Meanwhile, expressing an out-and-out optimism over Canada’s latest labour market reading, a chief economist at Desjardins Group, Jimmy Jean said, “It's very solid and shows that Canada is doing well in that fourth wave.
” However, the BoC (Bank of Canada) would likely to take a more cautious approach before fostering an aggressive stance on hiking its benchmark borrowing costs, suggested analysts.