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A key inflation measure was lower than expected in September, the Commerce Department said Friday in a report delayed by the government shutdown that gives a further green light for the Federal Reserve to lower interest rates.

The core personal consumption expenditures price index, which excludes volatile food and energy prices, indicated a 0.2% monthly rise while the annual rate was 2.8%. The monthly rate was in line with the Dow Jones consensus, but the annual level was 0.1 percentage point lower.

In addition, headline PCE increased 0.3% for the month, putting the annual inflation rate also at 2.8%, according to the department’s Bureau of Economic Analysis. Both of those readings were in line with expectations.

Federal Reserve officials use the PCE price index as their primary policy tool for inflation. While officials look at both measures, they generally consider core a better indicator of longer-term inflation trends.

The report was put off several weeks by the government shutdown, which had caused a halt to all data collection and economic reports.

Canada’s unemployment rate once again defied expectations and fell to a 16-month low in November as a solid gain in part-time jobs boosted the number of people employed for the third time in a row, data showed on Friday.

The unemployment rate fell 0.4 percentage points in November to 6.5 per cent, the lowest since July 2024, Statistics Canada said, adding it was led by 53,600 net job gains in November mainly among youth.

The job gains were driven by a 63,000 net additions in part-time work force linked to healthcare and social assistance sector, Statscan said.

With three months in a row of job gains, the Canadian economy has now added 181,000 new jobs since September, offsetting an almost no change in jobs for the first eight months when U.S. tariffs and trade uncertainty choked hiring.

Analysts polled by Reuters had forecast employment to reduce by 5,000 jobs in November and the jobless rate to tick up to 7 per cent.

The improvement in unemployment rate was also helped by a reduction in total labour force as immigration curbs instituted by the government sent less people into the job market.

Canada’s unemployment rate had been steadily climbing since March, when U.S. President Donald Trump unleashed a raft of tariffs on critical sectors such as steel, aluminum, cars and every other industry that did not comply with a free trade deal.

https://charts.theglobeandmail.com/zssR9/2

The impact has been more acute among the youth, or those aged between 15 and 24 years.

But November and October were the outlier. Employment in this category was up by 50,000 in November, and with October, these were the first jumps in youth employment since the start of the year, Statscan said.

Economy was on stronger footing heading into trade war, Statscan revisions show

The youth unemployment rate fell 1.3 percentage points to 12.8 per cent in November, following a slight decline in October. In September the youth unemployment rate had peaked at a 15-year high.

Employment among the core-aged group, which account for two-thirds of the total labor force, was little changed in November.

The average hourly wage of permanent employees – a gauge closely tracked by the Bank of Canada to ascertain inflationary trends – stayed at 4 per cent in November, same as the previous month.

– Enbridge Inc. raised its dividend as it forecasted another year of steady and predictable growth for 2026 driven by new projects entering service, as well as strong utilization and optimization of its existing assets. The company says it will now pay a quarterly dividend of 97 cents per share, up from 94.25 cents per share. The new dividend rate equates to an annual yield of nearly 5.8 per cent based Enbridge’s closing share price on Tuesday. The increased payment to shareholders came as Enbridge says it expects adjusted earnings before interest, income taxes and depreciation of $20.2 billion to $20.8 billion for 2026. Distributable cash flow per share is forecast between $5.70 and $6.10 for next year. Enbridge chief executive Greg Ebel said the guidance represents a four per cent increase from the respective midpoints of the company’s forecast for 2025. This report by The Canadian Press was first published Dec. 3, 2025.