Canadian three-month average employment pace turns negative

1052 ET - Canada's labor market cooled sharply in September, with job losses only partially due to the deterioration in trade negotiations between Ottawa and Washington, says Desjardins' Royce Mendes. Employment fell by roughly 68,000 last month, after falling about 42,000 in August. The education sector saw the most pronounced losses and healthcare also shed jobs, while manufacturing jobs dropped for the first time since June, Mendes says. September was the first full month since the U.S. imposed new tariffs on Canadian goods. The unemployment rate ticked up 0.1 percentage to 6.5%, though the economist says it could have been worse if not for a drop in the participation rate to the lowest in almost 30 years. (robb.stewart@wsj.com; @RobbMStewart) (END) Dow Jones Newswires October 09, 2026 10:52 ET (14:52 GMT) Copyright (c) 2026 Dow Jones & Company, Inc. The statements in this document shall not be considered as an objective or independent explanation of the matters. Please note that this document (a) has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and (b) is not subject to any prohibition on dealing ahead of the dissemination or publication of investment research.