The growth in Canada’s job market, as well as a generally better economic outlook, is causing Canadian consumer confidence to skyrocket.

In February, consumer confidence hit 10.6, a nine-point increase over January, according to The Conference Board of Canada’s Index of Consumer Confidence. This jump, the largest increase since March 2015, puts the index at its highest level in more than seven years.

“February’s gains suggest the recent string of solid job creation at the national level, as well as the improved economic outlook for 2017, have Canadians feeling more upbeat,” said Matthew Stewart, Associate Director, National Forecasting.

And with confidence increasing, consumers might feel more confident about discretionary purchases they’ve been putting off, like that vacation they’ve always dreamed of.

The numbers come as consumer confidence in the United States is also skyrocketing, which could help further stimulate Canada’s near-record-breaking inbound tourism numbers.

In the United States, consumer confidence hit 114.8 in February, which was considerably higher than the projected 111. The gain in sentiment puts Americans at their highest levels in 15 years.

“Overall, consumers expect the economy to continue expanding in the months ahead,” said Lynn Franco, director of economic indicators at the (U.S.) Conference Board.

Canadian Highlights

Residents of Quebec and Ontario are the most optimistic about their economic outlook. Consumer confidence jumped by 13.9 and 10.5 points, respectively, for the highest provincial gains in the nation.

Quebec and Ontario, which both saw solid economic growth last year, are also the two provinces to generate the majority of the new full-time jobs in Canada in the past few months. Economies in both provinces are also largely affected by trade with the United States, which continues to show economic momentum and job creation.

Conversely, the Atlantic index was the only index to decline in February. Confidence fell by 3.9 points, which the Conference Board of Canada attributes to the weak economic outlook for the region.

Alberta is reflecting a growth confidence due in large part to stabilizing crude prices. Although Job performance remained weak in the province last month, job prospects seem to be improving. Although Alberta hit a two-year high in confidence, the number is still 30 points below the 2014 average.

In Saskatchewan–Manitoba, the index rose 7.1 points to 83.9, while British Columbia’s index rose 2.3 points to 126.4.

The survey was conducted by the Conference Board of Canada between February 6–16, 2017.

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