CIBC Says Today's Jobs Data Supportive of BoC On Rates

09:06 AM EST, 11/07/2025 (MT Newswires) -- Overall, said Andrew Grantham over at CIBC, Friday's jobs data is supportive of the Bank of Canada's thinking that interest rates are now low enough to stimulate the economy, and CIBC continues to forecast no more rate cuts from here.

Grantham noted the Canadian labour market's post summer surge continued into October, with a 67K gain in jobs much better than the consensus forecast (-5K) and enough to bring the unemployment rate back below 7%. Job gains were strong in the wholesale & retail, transportation and info & recreation sectors.

Grantham said while the composition of jobs wasn't as strong as in the prior month, full time positions actually fell in October, that doesn't do too much to detract from the stronger than anticipated headline reading.

He noted a "solid" gain in jobs for 15-24 year-olds saw youth unemployment fall for the first time since February, although it remains elevated by historical standards. Also, hours worked fell during the month, but that was negatively impacted by elevated strike activity during the survey week, including a walk out by Alberta teachers. Wage growth for permanent employees surprisingly accelerated to 4.0%, from 3.6% in the prior month.

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