8 Oct 2012

Canada job growth increases fivefold

The Canadian economy recently added 52,100 new jobs during September, five times the amount economists predicted and, even better, most of the jobs added were full time positions. The news bodes well for Canada but it was not all positive. In another surprise, the unemployment rate still increased one-tenth of a percentage point to 7.4 percent, as many Canadian workers lost their jobs.

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“That is very unusual, to get a job gain of more than 50,000 and yet have the unemployment rate rise in the same month,” said Doug Porter, deputy chief economist at the Bank of Montreal’s BMO Capital Markets. “Often when the job market looks a bit better, you can get a rush of people out there looking for work. I don’t think that’s a bad sign."

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