5 Things to Know Today: Job Losses, a Sliding Loonie and Budget 2026 (Nov. 7)

 

Canadian Money Brief · Saturday, November 7, 2026

Canada’s job losses stretched to a third month, the loonie took its biggest one-day hit since January, and the federal budget landed with a few items for your wallet. Here’s what to know today.

1

Canada’s job market has now lost jobs three months in a row

Statistics Canada said the economy shed 4,700 jobs in October, well short of the gain of about 13,600 economists expected. The unemployment rate rose to 6.7% from 6.5%, a six-month high. That follows losses of 42,000 in August and 68,000 in September, and the country has added just 17,000 jobs over the past 12 months. Alberta lost 24,000 jobs, youth unemployment climbed to 13.7%, and average hourly wages were up only 2.2% from a year earlier.

What it means for you: Wages are rising 2.2% a year while September inflation was 3.1%, so paycheques are losing ground. If your income feels less certain, this is a good week to check that your emergency fund covers three to six months of essentials.

2

The Bank of Canada’s next move just got less certain

The weak jobs report cooled bets on another rate hike at the Dec. 9 decision. Swap markets now put the odds of a hike at roughly 35%, down from about 40% before the data. The central bank raised its key rate to 2.50% on Oct. 28, and on Thursday it unveiled a renewed five-year policy framework with the 2% inflation target unchanged.

What it means for you: If you have a variable-rate mortgage or HELOC, another increase is still possible but is no longer what markets expect, so budget for payments to hold steady for now. If you’re saving, GIC yields have been climbing, so compare rates before you lock in.

3

The loonie slides to about 70.8¢ US as oil sinks

The Canadian dollar fell roughly 0.8% on Friday, its biggest one-day drop since late January, and finished its worst week since September. Weak Canadian jobs data and a stronger U.S. dollar after a solid U.S. jobs report both weighed on it. Oil also stayed under pressure: WTI traded near US$90 a barrel and was on track for a weekly loss of about 12%.

What it means for you: At 70.8¢, US$100 costs about C$141, so U.S. purchases and winter travel south get pricier. Cheaper crude should eventually ease pump prices, though gas prices tend to lag oil.

4

Stocks bounce after Thursday’s AI-driven rout, but the week still stings

The S&P/TSX Composite closed Friday at 35,789.09, up 183.79 points, after Thursday’s 736-point plunge, its biggest one-day drop in five months. On Wall Street, the S&P 500 gained 0.3% to 7,376.86 and the Nasdaq rose 1.1% to 24,579.42, but both still finished the week lower, down about 2.7% and 3.4%. The Toronto index ended the week slightly higher.

What it means for you: The Canadian index held up better than U.S. tech-heavy indexes this week. If your TFSA or RRSP holds U.S. index funds, you may have more exposure to the AI names behind the selloff than you realize. It’s worth reviewing your mix rather than reacting to one week of moves.

5

Budget 2026 is out: a $62.3 billion deficit and a few wallet items

Ottawa tabled $142.1 billion in new measures, mostly offset by stronger-than-expected revenues, and projects a deficit of $62.3 billion this fiscal year. For households, the budget proposes a one-time Canada Groceries and Essentials Benefit payment worth half the benefit’s annual value, expected in early 2027. It also sets a new May 15 tax-filing deadline for all filers starting in 2028.

What it means for you: The benefit top-up is proposed, not guaranteed, and nothing lands in your account until early 2027. The new filing date starts in 2028, so your next tax season isn’t affected.

On the radar: October inflation data (Nov. 16), the November jobs report (Dec. 4) and the Bank of Canada’s rate decision (Dec. 9).

Sources: Statistics Canada (via CTV News and BNN Bloomberg), Reuters, The Canadian Press, Investing.com. Market figures are Friday, Nov. 6 closes or late-session levels; oil and the loonie are approximate.

For general information only. This is not financial, tax or investment advice.