Canada likely to have added 20k jobs in July, jobless rate to have fallen to 5.9 pct

Canadian employment data for July is set to be released tomorrow. According to a TD Economics research report, Canada’s economy is likely to have added 20k jobs in the month on rebound in a private sector employment after two straight months in decline.

Full time positions are likely to have lead job growth to lend an upbeat tone to the report after underperforming part time by around 60k since March. Also, the labor force growth is likely to have moderated from June, which should permit the jobless rate to fall to 5.9 percent.

“Lastly, wage growth for permanent employees is likely to push higher to 3.6 percent y/y on a rebound in monthly earnings”, added TD Economics.

At 18:00 GMT the FxWirePro's Hourly Strength Index of Canadian Dollar was neutral at 34.213, while the FxWirePro's Hourly Strength Index of US Dollar was neutral at 45.4829. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex