Statistics Canada has reported that the Canadian economy added 11,200 jobs in October as unemployment dipped to a 40-year low.
On November 2 the agency reported that Canada’s unemployment rate fell to 5.8 per cent for the first time since July, Reuters reported. According to an earlier Reuters poll, analysts had predicted 10,000 new jobs to be added, leaving the unemployment rate at 5.9 per cent.
The numbers reinforce expectations that the Bank of Canada will continue to increase interest rates. It has raised rates five times in the last year and a quarter. A few days before Statscan released its October figures, the BoC said it was planning more interest rate hikes to remove monetary stimulus, given how well the economy is doing, Reuters reported.