Canada's employment fell by 2,800 in July, and the unemployment rate remained at 6.4%

According to Jinshi Data, data on Friday showed that Canada's employment unexpectedly decreased by 2,800 in July, while the market expected an increase of 22,500. The reduction in jobs was entirely due to a reduction in part-time jobs, with a total reduction of 64,400 jobs, offsetting the increase in 61,600 full-time jobs.

The unemployment rate remained at a 30-month high of 6.4%. July was the second consecutive month of job losses, adding to signs of easing in Canada's labor market that would support another rate cut at the central bank's next meeting in September.

The unemployment rate has risen by 0.7 percentage points since January. The labor force participation rate also fell to a 26-year low of 65% in July. Money markets believe that the Bank of Canada will cut interest rates by another 25 basis points on September 4, and there is even a small chance of a 50 basis point cut.