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Canadian GDP in August showed zero growth, expected to increase by 0.3% in September.
Statistics Canada data shows that Canada's real Gross Domestic Product (GDP) in August stagnated, consistent with preliminary estimates and market expectations. Driven by finance, insurance, and public administration, the service industry grew slightly by 0.1%, while the commodity production industry declined by 0.4%, reaching the lowest level since December 2021. The statistics agency predicts that Canada's GDP in September may grow by 0.3%, with growth in finance, insurance, construction, and retail trade offset by declines in mining, quarrying, as well as oil & gas extraction.
The Canadian economy appears to be significantly cooling down in the third quarter.
October 31st by Gelonhui | Analyst Robb Stewart said, without a doubt, Canada's economy is declining. The industrial GDP was revised downwards to just 0.1% month-on-month growth in July and remained flat in August. Statistics Canada estimates a growth rate of 0.3% in September, seeming to show a rebound. This means that the industrial GDP for the third quarter grew at an annual rate of 1%, significantly lower than the 2.2% in the first quarter and 2.1% in the second quarter. This also implies that the GDP economic growth rate expectation of 1.5% for the third quarter recently lowered by the Bank of Canada may still be too optimistic.