OTTAWA - Workers received welcome news in time for Thanksgiving on Friday with solid and surprising evidence the economy has started creating jobs again - and good, full-time jobs at that - after a year of painful losses.

Statistics Canada said the country's unemployment rate fell for the first time since the recession hit last October to 8.4 per cent last month, as the economy created 30,600 net new jobs.

The job creation was five times stronger than many economists had forecast and leaves Canada in an enviable position compared to the U.S., which is still suffering massive job losses each month.

And the gain included 91,600 new full-time jobs - offsetting the 61,000 decline in part-time employment - and indication many workers reduced to part-time status during the recession saw their hours returned.

Speaking in the Niagara region, Prime Minister Harper reacted with caution.

"We have some good news today, (but) I don't think we're out of the woods," he said.

"My big concern remains the United States. We saw once again the loss of over 250,000 in the United States. These are all great things for Canadians to brag about, but on the other hand ...these problems in the United States do continue to create real drags in the Canadian economy."

That was apparent with Statistics Canada's other significant release Friday. It showed Canadian exporters continue to struggle in foreign markets, particularly the U.S., as both volumes and the value of exports declined about five per cent in August.

Economists and markets were buoyed, however, particularly as this was the second straight month that saw jobs created, a surprising development in what was feared might be a jobless recovery.

The loonie jumped nearly a cent on the news even before markets opened in Toronto and was approaching a new one-year high near 96 US at midday. The loonie's continuing rise against the greenback came as other major currencies slipped Friday against the U.S. dollar.

Bank of Montreal economist Doug Porter said there are plenty of reasons to view the jobs data with a jaundiced eye, including the fact that most of the full-time gains were in the public sector and self-employment categories.

But added a gain of 30,600 following August's equally unexpected pick-up of 27,000 new jobs was still impressive.

"This is the sound an economy when an economy recovers.