Uncertainty prevails for business and households in Canada, and surveys indicate companies plan to scale back investment and have dropped hiring plans.

The unemployment rate ticked up to 7% in May from 6.9% in April, a third consecutive monthly increase, Statistics Canada said, adding that the total of jobless people in May was almost 14% higher than a year ago.

The Canadian economy eked out minor job gains, and the unemployment rate rose for a third straight month to the highest level since September 2016 outside of the pandemic.