09:14 AM EDT, 08/09/2024 (MT Newswires) -- Over at Desjardins, Royce Mendes said Canada's labour market "stood still" for a second month in a row in July. After shedding 1.4K jobs in June, employment declined 2.8K in July, he noted. But "for a series as volatile as the Labour Force Survey, that's really nothing," he added.

According to Mendes, the latest employment data don't change the narrative surrounding the Canadian economy. He said: "The labour market is weak, but it's not falling off a cliff -- at least not yet." Still, he noted, central bankers need to get rates down ahead of the mortgage renewal wall in 2025.

As a result, Desjardins sees the Bank of Canada moving at each of its upcoming decisions until at least the middle of next year.

Mendes noted yields didn't move much on the release, with the weak headline employment reading being offset by the stationary unemployment rate.