The solid 78,600 increase in employment in December and the drop in the unemployment rate to 5.7%, from 5.9%, suggest that the domestic economy is coping well with recent increases in interest rates. This will no doubt fuel speculation that the Bank of Canada might hike interest rates later this month or shortly thereafter. But we aren’t convinced, partly because of the uncertainty around NAFTA.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services