Canada adds 75,000 jobs in July as unemployment rate falls to two-year low

Canada's economy added 75,000 jobs in July, bringing the national unemployment rate down to 6.4 per cent, according to Statistics Canada. The agency said the unemployment rate is now at its lowest level in two years.

The latest Labour Force Survey marks the third consecutive monthly decline in unemployment. Since April, the jobless rate has fallen by 0.5 percentage points. The July employment gain also exceeded economists' expectations, with forecasts having called for approximately 15,000 new jobs.

Statistics Canada reported that both full-time and part-time employment contributed almost equally to the overall increase. The strongest job gains were recorded in the wholesale and retail trade, finance, and insurance sectors, reflecting continued hiring in parts of the private sector.

Ontario recorded the largest provincial increase, adding 52,000 jobs during the month. Meanwhile, annual average hourly wage growth slowed to 2.8 per cent in July from 3.3 per cent in June. The moderation in wage growth may ease inflation pressures that are being monitored by the Bank of Canada.