Canada

Monday, January 27, 2020 - 11:50

MNI DATA REACT: Canada Job Revision Wipes Biggest Loss in 10Y


--Statistics Canada Makes Annual Revision to Labour Force Survey

OTTAWA (MNI) - Canada's job market wasn't as bad as thought late last year with revisions Monday showing the November decline is no longer the steepest in a decade, a potential relief to a central bank that signaled it may cut rates because of persistent weakness.

Statistics Canada published annual revisions paring the November drop in jobs to 54,400 from the original report of 71,200, which was the largest since the last recession in 2009. The revised figure is now the largest job decline since January 2018, according to MNI calculations using StatsCan's data.

The December job gain was marked down to 27,300 from 35,200, Statistics Canada said. The unemployment rates for the two months remained at 5.9% in November and 5.6% in December, which was close to the lowest since the 1970s.

The fourth quarter remained weak with a revised cumulative decline in employment of 30,300 as opposed to the earlier finding of 37,800 positions. The BOC cited slowing job growth on Wednesday as it held the key lending rate at 1.75%. Governor Stephen Poloz said the door is open to a cut if broad weakness persists. The BOC also lowered its fourth quarter growth estimate to 0.3% and said said growth this quarter will be 1.3%.

--MNI Ottawa Bureau; +1 613-314-9647; email: greg.quinn@marketnews.com

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