By James Langton

(February 9 – 11:50 ET) – Today’s jobs report was weak, but nothing to be frightened about, says BMO Nesbitt Burns’ Chief Economist, Dr. Sherry Cooper.

Cooper says that today’s report, which saw no job growth and a small uptick in unemployment, but coming on the heels of strong growth, it shouldn’t be too worrying. “This report is consistent with further Bank of Canada easing, but is not weak enough to prompt more aggressive action,” she says.

Economists at CIBC World Markets are similarly cautious, noting that one month’s data doesn’t make a trend. But, the lack of new hiring, and the down turn in manufacturing employment, is consistent with its forecast for less than 1% real GDP growth in the first quarter. “Look for the Bank of Canada to respond to emerging signs of economic malaise with a half point rate cut in March.”

CIBC says that markets are already pricing in several more rate cuts from the Bank, but that it could still spell a rough ride for the Canadian dollar. It will be good news for bonds.