Canada unexpectedly sheds 9,400 jobs in June, annual growth weak

Hundreds of job seekers lined up for a chance to take part in a community job fair put on at the...

Hundreds of job seekers lined up for a chance to take part in a community job fair put on at the Lumley Bayshore on Wednesday, March 26, 2014 in Owen Sound. (JAMES MASTERSQMI Agency)

Reuters

, Last Updated: 11:32 AM ET

OTTAWA  - Canada unexpectedly shed 9,400 jobs in June and the unemployment rate rose to 7.1 percent from 7.0 percent in May as more people sought work, Statistics Canada data indicated on Friday.

Analysts surveyed by Reuters had expected a gain of 20,000 jobs in June. The year-over year gain was just 72,300 jobs, or 0.4 percent, the lowest annual growth rate since the 0.4 percent recorded in February 2010.

The economy created 33,500 full-time jobs in June but lost 43,000 part-time positions. Employment fell in manufacturing and business, building and other support services, while more people found jobs in construction.

The six-month moving average for employment jumped to 8,800 from 3,000 in May, when the figure included a net loss of 44,000 jobs in December 2013.

Market operators expect that worries about soft growth will keep the Bank of Canada from hiking interest rates until late next year, a Reuters poll found on Thursday.


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