Canada’s Labour Market Refuses to Cool, Adds Another 150K Jobs in January

Canada’s labour market surprisingly expanded at a much faster pace than expected last month, in the latest sign that the Bank of Canada’s aggressive rate hikes just aren’t cooling the economy as fast as policy makers are hoping for.

Latest data from Statistics Canada shows that Canada’s economy added an additional 150,000 jobs in January, keeping the unemployment steady at 5%. The majority of last month’s employment gains were concentrated in full-time work, and driven by the core-aged population, as well as adults above 55 years old.

Total hours worked also increased 0.8% on a monthly basis in January, to a 5.6% gain from one year ago. However, average hourly wage growth slumped to an annualized 4.5% last month, slightly below December’s gain of 4.8%.

The latest figures are likely going to be dismal news for the Bank of Canada, which has raised borrowing costs from near-zero to 4.5% in 11 months, before signalling a pause last month to allow the aggressive rate hikes to cycle through the economy. Consensus forecasts were calling for an employment gain of only 15,000 jobs, while markets were expecting less than a one-in-ten chance of another rate increase next month.

Information for this briefing was found via Statistics Canada and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

One Response

  1. Where can I find a breakdown of the 150K job increase in January/23 ? How many of these jobs are full time employment ? Can provincial breakdown also be provided ?

Video Articles

Silver’s Finally Breaking the System | Keith Neumeyer – First Majestic

The Best News for Gold Was the Drop! – Peter Grandich

McEwen Copper: The Los Azules Feasibility Study

Recommended

Silver47 Completes Property-Wide Geochemical, Rock Sampling Program At Adams Plateau, Identifies Numerous Targets

Altamira Gold Identifies Presence Of Second Mineralized Porphyry Body At Cajueiro

Related News

Doug Ford Begs Bank of Canada Again To Stop Interest Rate Hikes

Ontario Premier Doug Ford has made a passionate plea to the Bank of Canada, urging...

Monday, October 23, 2023, 08:47:51 AM

Nomura Is Calling For A Fed Rate Cut And QT Halt

While Goldman Sachs sees the recent brouhaha in the banking industry as a sign for...

Tuesday, March 14, 2023, 07:59:03 AM

Bank of Canada Set to Hike Rates Another 50 Basis Points as Inflation Runs Amok

Canada’s central bank is expected to raise interest rates once again during its upcoming policy...

Tuesday, May 31, 2022, 03:01:00 PM

Fed Officials Expected to Hike Rates Another 25 Basis Points

The Federal Reserve is expected to conclude its two-day policy meeting on Wednesday, and markets...

Tuesday, January 31, 2023, 02:17:00 PM

US Federal Reserve Maintains Rates, Signals Coming Rate Cuts

The Federal Reserve has elected to maintain interest rates yet again, keeping them between 5-1/4...

Wednesday, March 20, 2024, 02:47:46 PM