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New Jobs Numbers ‘cement the case’ for an Interest Rate Hike Next Week: CIBC

Posted July 07, 2017

Under Economic Issues

(Erica Alino – Global News)

Canada’s job market delivered another stellar performance in June by adding 45,300 positions, Statistics Canada said Friday.

The number, which vastly surpassed economists’ consensus expectation of 10,000 new jobs, increases the probability that the Bank of Canada (BoC) will raise interest rates at its next rate announcement on July 12.

“We had held on to our October forecast for a Bank of Canada rate hike, but concede that’s likely to end up off the mark, as today’s jobs numbers cement the case for the central bankers to raise rates in the coming week,” Avery Shenfeld, chief economist at CIBC Economics, wrote in a note to clients.

“The jobs market is tightening, and not that far from what historically has been judged as full employment. Over to you, governor Poloz.” Click here to read more.