Canada’s 10-year government bond yield edged lower to around 3.65% in November, near its lowest level in two months, as markets are assessing weak employment data. Canadian employment fell by 4,700 in October, improving from September’s 68,300 decline but missing forecasts for a 13,600 increase. Private-sector employment dropped by 53,000 (-0.4%), its first decline since February. A softer labor market could prompt the BoC to cut rates to support economic activity and hiring, lowering yields on Canadian assets. However, Canada’s GDP grew 0.8% in Q2 2026, following a 0.1% expansion in Q1. Meanwhile, recent global equity losses boosted demand for safe-haven government bonds. The Democrats won majorities in both chambers of the US Congress in the midterm elections, fueling concerns over tighter AI infrastructure regulations, prompting a rout in equities.