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According to analysts at the National Bank of Canada, next week, the key economic report will be on Friday with job market numbers.  

Key Quotes:

“The LFS has painted a rather morose picture of the Canadian labour market lately. Indeed, the reported 51.6K jobs lost in August brought this year’s cumulative employment change back into negative territory at -14.6K. Such a poor number is hard to reconcile with the rather upbeat economic data published recently. Adding to the confusion, the SEPH survey, a poll of establishments, continues to show strong job gains this year (+203K). There’s a limit to the extent to which the SEPH and the LFS can diverge. After all, the two surveys are supposed to give an assessment of the same labour market.”

We expect a good showing for the LFS in September (+25K), one that would at least bring total job creation in 2018 back into positive territory. If that scenario unfolds, the unemployment rate could stay put at 6.0%.“

“We’ll also get data on August’s merchandise trade balance. Both energy and non-energy exports may have shrunk in the month, hampered by lower prices. The resulting negative impact on the overall trade balance may have been compounded by a rebound of imports following a weak print in July. All told, the Canadian goods trade deficit could have widened to C$1.5 billion.”

“Markit’s manufacturing PMI for September will also be released this week.”