Canada Jobs Surge Defies Expectations, But PMI Signals Cooling Momentum

Canada added a blockbuster 75,100 jobs in July, smashing expectations for just 20,000 gains, while the unemployment rate slipped to a two-year low of 6.4%. The surge was broad-based, led by 58,000 private sector positions and 52,000 jobs in Ontario alone, though public sector headcount dropped 27,000. Average hourly wage growth cooled to 2.8% year-over-year, potentially easing Bank of Canada inflation worries.

PMI Tells a Different Story

The Ivey...