PREVIOUS TRADING DAY EVENTS 07 July 2023

The Job report for Canada on Friday showed high figures, far more jobs than expected in June. The jobless rate rose to 5.4 from 5.2. Analysts are now expecting another Bank of Canada BoC interest rate hike next week, as more people searched for work, according to Fridays Canada Statistics data.

The jobs figures are good enough to give the green light for the bank to hike next week, said Derek Holt, vice president of capital markets economics at Scotiabank. We still have a jobs market that is holding on quite nicely.

The return to solid job growth in June should lock in a second consecutive 25basispoint rate increase next week as central bankers scramble to tamp down the surprisingly resilient economy and resultant excess inflationary pressures, said Royce Mendes, head of macro strategy at Desjardins Group.

The BoC watches the average hourly wage closely, which rose 3.9 from June 2022, compared to a 5.1 yearoveryear increase in May.

Source httpswww.reuters.commarketscanadagainsmorejobsthanexpectedjunejoblessraterises5420230707

The NFP report was released on Friday, showing a surprisingly low figure showing that the U.S. economy added only 209K jobs in June. However, persistent wage growth and stilltight labour market conditions push the Federal Reserve to resume raising interest rates later this month.
Higher borrowing costs are playing a huge role in the economy explaining the drop in job openings as per the relevant…