Today we have the release of Canadian Employment change data which is an early and leading indicator of the health of the Canadian economy. The Bank of Canada will be watching this metric to inform future policy decisions as many are anticipating further monetary easing from the Bank. There will have to be enough evidence that the economy is strong enough to withstand such a move and today will provide some indication of whether that is the case.
Canadian Employment Change, 12:30 GMT
Investors Notes:
- Rising global demand and a more competitive Canadian dollar are expected to boost exports and stimulate economic growth.
- The majority of new job creation is in part-time work, as full-time positions are expected to retract in June, after 2 consecutive months of downward trend.
- Full- time positions have plateaued since the beginning of 2013.
- The Canadian unemployment rate is set to remain at 7% this month.
- Approximately 20,700 new jobs are expected to be added to the Canadian economy this month compared with 25,800 added last month.
- Banc De Binary analysts predict there will be a short- term positive impact on the Canadian dollar, indicating a potential downward movement in the USD/CAD.