Canada Consumer Sentiment Falls Third Week on Job Outlook

The Bloomberg Nanos Canadian Confidence Index fell for a third consecutive week as optimism over job security deteriorated.

The measure of the economic mood of Canadians fell to 58.0 in the seven days through Oct. 18, from 58.5 the previous week. The reading for job security dropped to 66.6 from 68.4.

Employment has grown by 113,100 positions through September, the slowest pace since 2001 outside of the last recession, as manufacturers and governments fire workers to cut costs. Discouraged young people dropped out of the labor market faster than new jobs were created in September, reducing the participation rate to the lowest in more than a decade.

“Sentiment declined primarily due to rising concerns about the domestic labor market which reflects the slower pace of overall economic activity,” said Joseph Brusuelas, senior economist at Bloomberg LP in New York. “Disenchantment with the labor market, especially among younger people that are exiting the workforce due to lack of opportunity, is likely to become a rising policy concern as Canada heads into 2014.”

http://www.bloomberg.com/news/2013-10-21/canada-consumer-sentiment-falls-third-week-on-job-outlook.html