September NFP Numbers Drop In U.S., Employment Rises In Canada

Published 2017-10-06, 09:40 a/m

U.S. non-farm payroll (NFP) saw the first negative reading in seven years at -33k. Headline affected by distortion due to August hurricanes. The unemployment rate, fell two-tenths of a percentage point to +4.2%, a level not seen since early 2001. Workers’ wages jumped last month, another figure that may have been affected by the storms. Average hourly earnings rose 12 cents, or 0.45% from a month earlier. Wages were 2.9% higher from a year earlier.

Details:

U.S. Labor September Nonfarm Payrolls: -33K; Consensus +80K
U.S. September Unemployment Rate: 4.2%; Consensus 4.4%
U.S. September Average Hourly Earnings: +0.45%, or +$0.12 to $26.55; Over Year +2.9%
U.S. September Private Sector Payrolls: -40K and Government Payrolls +7K
U.S. September Average Workweek: 0.0 Hour to 34.4 Hours
U.S. September Labor-Force Participation Rate: 63.1%
U.S. August Payrolls Revised to: +169K; Jul Revised to +138K

USD remains better bid (€1.1678, £1.3037, ¥113.37) across the board, with treasury yields continuing to back up on inflation expectations.

USD/CAD for Oct. 5-6, 2017.

In Canada, employment rose in September for a 10th straight month, and workers’ wages increased at their fastest pace in over 17 months. The country’s jobless remain unchanged from the previous month, sitting at a post-crisis low.

Details:

Canada September Net Jobs: +10,000 From Aug
Canada September Jobless Rate Forecast: 6.2%
Canada September Full-Time Jobs: +112,000; Part-Time: -100,000
Canada September Average Hourly Wages: +2.2% from a year ago
Canada September Participation Rate: 65.6% vs 65.7% in August

On a year-over-year basis, Canadian employment increased 319,700, or 1.8%, with nearly all of the new jobs created over the past 12 months of the full-time variety, which tend to offer higher pay and steady benefits.

The loonie (C$1.2564) finding support from the full-time employment headline print.

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