Canadian
jobs bounced back in May but it’s not what you think. According to Statistics
Canada, there were 25,800 more people employed last month. Although the job
number is higher than what economists had predicted earlier (25,000 vs.
25,800), it is still no bed of roses. All those newly hired are not full time
employees but instead were hired for part-time positions, mostly in the public
sector. The majority of these part time workers are said to be students who are
coming straight out of school. Full time employment fell by 29,100, placing the
jobless rate at 7% compared to 6.9% a month earlier.
Many
new hirers were in Alberta while the largest declines came from Newfoundland
and Labrador. According to the Financial
Post, educational services added 22,000 more jobs, accommodation and food
operators added 20,000 positions, and the agriculture sector rose by 19,000. In
contrast, the number of people working in the natural resources sector fell by
23,000. According to Statistics Canada, this put employment in the resource
industry at nearly the same level as in May 2013. The manufacturing sector lost
12,200 positions while jobs in the construction field increased by 4,500 in
May. The report isn’t too great especially when considering that the full time
job gains have been down for a second month today.
By
contrast, the employment news from the U.S. was much more optimistic. The U.S. Labor
Department claimed that the economy had produced 217,000 jobs, which was
roughly within the initial approximations. Despite the gains in jobs, unemployment
remained stagnant at 6.3%. The S&P/TSX composite index was ahead 14.54
points to 14,814.72. Meanwhile in New York, the Dow Jones industrials gained
50.35 points to 16,886.46, the Nasdaq advanced 13.42 points to 4,309.65, and
the S&P 500 index was ahead 5.12 points to 1,945.58.
Sources:
http://business.financialpost.
http://www.ctvnews.ca/
Disclaimer: This article was posted with the permission
of a third-party contributor and the opinions contained therein do not
necessarily reflect those of Smallcappower. Smallcappower does not endorse
any investment advice provided by these third-party contributors. Please
consult your investment advisor before making any investment
decisions.
Ubika Corporation and its divisions Smallcappower, Ubika
Communication and Ubika Research are not registered with any financial or
securities regulatory authority in Ontario or Canada, and do not provide
nor claims to provide investment advice or recommendations to any visitor of
this site or readers of any content on this site. – See more at: http://www.smallcappower.com/posts/small-cap-power-disclosure
