Unlike the U.S., Canada Posts Better-than-Expected Job Growth in June!

<p>&nbsp;The Canadian economy added 59,900 net jobs in June, much higher than expected, while the unemployment rate rose to 5.4% as more people looked for work, Statistics Canada data showed on Friday.</p><p><br /></p><p>Analysts polled by Reuters had forecast a net gain of 20,000 jobs and the unemployment rate rising to 5.3% in June from 5.2% in May. The unemployment rate in June rose for the second month in a row and is now at its highest level since February 2022, though still below the pre-pandemic 12-month average, Statscan reported.</p><p><br /></p><p>The June jobs report was among the last economic data released before the Bank of Canada's rate announcement on Wednesday. The central bank raised its overnight rate to a 22-year high of 4.75% last month amid concerns about persistent inflation but said further steps would depend on new information.</p><p><br /></p><p><br /></p><p>Data in the past month have shown some signs of slowing with inflation slipping to 3.4%, a sluggish May jobs report and a fall in prices in the goods trade but not enough to dampen market expectations of another rate hike.</p><p><br /></p><p>A majority of economists polled by Reuters also expected the bank to raise rates by another quarter point and then hold until 2024.</p><p><br /></p><p>June's net job gain, the largest since January, was driven by full-time work. Job gains were concentrated among men aged 15 to 24 and the core 25 to 54 age group, while employment among women of all ages was little changed in June.</p><p><br /></p><p>Employment in the goods sector rose by 9,800 net jobs, mainly in the manufacturing sector, while 50,000 services jobs were added in June, led by the wholesale and retail trade, as well as health care and social assistance sectors.</p>