Canadian economy picks up steam as February output rises 0.8%
BNN Bloomberg
Canada’s economy extended a streak of monthly gains to nine in February amid three-decade high inflation, reinforcing views that the central bank is poised to embark on one of its most aggressive tightening cycles yet.
Canada’s economy extended a streak of monthly gains to nine in February amid three-decade high inflation, reinforcing views that the central bank is poised to embark on one of its most aggressive tightening cycles yet.
Gross domestic product rose by 0.8 per cent last month, according to a preliminary estimate from Statistics Canada published on Thursday. In January, the economy expanded by 0.2 per cent, even after the nation was hit by a wave of COVID-19 infections and fresh lockdowns, the agency said.
In February, output gains were led by the manufacturing sector, oil and gas extraction, accommodation and food services, and construction, the agency said.
While the omicron outbreak continued to hit services-producing industries in the first month of this year, nine out of 20 industrial sectors expanded in January.
The statistics agency revised the December output growth up to 0.1 per cent, from unchanged.
The report shows an economy that’s growing at an increasingly robust pace despite major border blockades earlier this year. That follows a strong fourth quarter that saw output expanded by an annualized 6.7 per cent, which was better than the Bank of Canada’s estimate of 5.8 per cent.
