Strong Canadian Payrolls
The Canadian economy added a net +32.3k jobs in March on a seasonally adjusted basis, all of which were in the full-time category. Market expectations were for a net gain of +20k.
Canada’s unemployment rate was unchanged at +5.8%% last month as the labor force expanded and full-time hiring surged, partially retracing steep job losses that took place in January.
The loonie has caught a bid on the strong report, currently up +0.15% at CAD$1.2751
U.S Job Growth Slows in March; Unemployment Rate Holds at +4.1%
The pace of hiring stateside slowed in March and the unemployment rate held at a 17-year low.
U.S nonfarm payrolls rose a seasonally adjusted +103k, a sharp slowdown from February’s gain of +323k (revised).
The unemployment rate was a seasonally adjusted +4.1% for the sixth consecutive month.
Figures for January and February were revised down, subtracting -50k jobs from the first two months of the year. The U.S added +326k in February and +176k in January.
Note: In Q1, employers have added an average of +202k workers to payrolls, outpacing last year’s average growth of +182k per report.
A tighter labor market should also produce better wage growth, but so far that’s failed to materialize. Average hourly earnings for all private-sector workers increased +8c to +$26.82. Wages rose +2.7% y/y in March.
Stock futures have edged slightly lower after the release, while the U.S 10-year Treasury yield has edged lower, down -2 bps to +2.8%, while the USD has slipped -0.2% against G7 currency pairs.
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Dean Popplewell
He has a deep understanding of market fundamentals and the impact of global events on capital markets.
He is respected among professional traders for his skilled analysis and career history as global head
of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean
has played an instrumental role in driving awareness of the forex market as an emerging asset class
for retail investors, as well as providing expert counsel to a number of internal teams on how to best
serve clients and industry stakeholders.
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