Canada’s employment growth to have slowed in April, jobless rate likely remained at 6.7 pct

Canada’s employment growth is likely to have decelerated in April. According to a TD Economics research report, employment is expected to have risen by just 10,000 in April, the weakest since November 2016. Hiring is expected to have tilted towards part-time employment that has witnessed almost no rise in over the past six months as compared with the 30,000 per month average for full-time employment.

The goods producing sector is expected to have underperformed in the midst of a declining rig count, and a sharp rise in protectionist rhetoric from the U.S. But a material fall in economic slack might start exerting upward pressure on wages that have continued to be a disappointment. Canada’s jobless rate is expected to have remained stable at 6.7 percent in April amidst a modest rise in the labor force, added TD Economics.