08.08.2025 17:12

Canada's July unemployment rate defied expectations, remaining stable at 6.9%, a figure lower than the projected 7%. This stability, however, masked a net employment decrease of 40,800 jobs, contrasting sharply with analysts' predictions of a 13,500 increase.


A closer examination of the Statistics Canada report reveals a disproportionate impact on young people. The employment decline was heavily concentrated amongst the 15 to 24 age group, experiencing a significant drop of 34,000 jobs (a 1.2% decrease). Conversely, employment levels remained relatively unchanged for those aged 25 to 54 and those 55 and older. Furthermore, the employment rate dipped slightly to 60.7%, down 0.2 percentage points. The participation rate also fell, from 65.4% to 65.2%. Despite this, average hourly wages saw a positive yearly increase of 3.5%, exceeding June's 3.2% rise.


The unexpected employment figures exerted a slight downward pressure on the Canadian dollar. Immediately following the release, the USD/CAD exchange rate climbed approximately 0.1%, reaching 1.3760. This demonstrates a modest bearish trend for the Canadian currency against the US dollar.


A detailed breakdown of currency movements reveals the Canadian dollar's relative weakness against other major currencies. While showing slight appreciation against some, it notably weakened by 0.15% against the US dollar. Other changes, expressed as percentage shifts relative to the Canadian dollar, include gains against the Japanese Yen (0.31%) and modest changes against the Euro, British Pound, Australian Dollar, New Zealand Dollar, and Swiss Franc. This data, presented in a heat map format, illustrates the complex interplay of global currency exchange rates.