08:21 AM EDT, 08/14/2024 (MT Newswires) -- For decades, Canada's unemployment rate was consistently

lower than the average rate in Europe -- aside from the COVID-19 pandemic distortions, noted Bank of Montreal (BMO).

That is no longer the case, said the bank.

With Canada's jobless rate at 6.4% in June and July, it's now

above the European Union's average rate of 6.0% over the

past quarter, pointed out BMO. It's still one tick below the jobless rate in the eurozone but is poised to soon pass that benchmark.

To put that in perspective, Canada's rate was four ppts lower just

10 years ago and has been two ppts lower on average since 2000, stated the bank.

Part of this shift is a good news story, according to BMO. Joblessness in Europe has trended steadily downward from earlier cycles, in part due to demographics.

However, it also drives home the point that Canada is seeing a bigger job market deterioration than most, owing to the interest-sensitivity of the economy, as well as extremely rapid population growth, added the bank.