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Ahead of the Canadian jobs data RBC.....>

CANADA DATA
CANADA DATA: Ahead of the Canadian jobs data RBC forecast a below consensus
print of +5K for January employment (cons. +10K, prior 64.8K), as the average
GDP growth in H2 2017 was cut in half from H1 and suggests that the recent
employment gains are unlikely to be sustained. The slowdown is expected to be
concentrated in service-producing jobs while we expect the unemployment rate
will hold steady at 5.8% (the December unemployment rate reading matched the
lowest on record in comparable data dating back to 1976). Tighter labour markets
boosted average hourly earnings growth to 2.9%y/y in December and they expect
this trend to continue - although January wages should also get a boost from the
sizeable increase in the minimum wage in Ontario.

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