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Toronto's financial district and Old City Hall.
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Canada sheds 68,000 jobs in September as unemployment rises to 6.5%

It is the second straight monthly decline and the Bank of Canada's last labour market reading before its Oct. 28 decision.

Toronto's financial district and Old City Hall.

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Canada lost 68,000 jobs in September, Statistics Canada reported, and the unemployment rate rose to 6.5 per cent from 6.4 per cent. Economists had expected a small gain.

It was the second straight monthly loss, after a drop of about 42,000 in August. Young people aged 15 to 24 lost 48,000 jobs.

Inflation was 3.0 per cent in August, driven partly by gasoline prices. That leaves the Bank of Canada weighing a softening job market against prices that remain above its two per cent target.

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