Canadian Economy Stalls in July After Eight Months of Growth
By Paul Vieira
OTTAWA--Canadian economic output stalled in July after eight straight months of gains, bringing an end to an exceptional run that powered the fastest growth among Group of Seven economies in the past year and spurred the Bank of Canada to raise interest rates twice in recent months.
The level of Canada's gross domestic product, or the broadest measure of goods and services produced in an economy, was largely unchanged in July versus the previous month, sitting at 1.74 trillion Canadian dollars ($1.40 trillion), Statistics Canada said Friday. Market expectations were for GDP growth of 0.1% in July, according to economists at Royal Bank of Canada.
Nevertheless, on a one-year basis, GDP rose by a still robust 3.8%.
Declines in energy production and the steepest fall in financial-services output in over two years offset a strong performance in July from the wholesale sector, and an increase in hours worked in the public sector.
Overall, the goods-producing side of the economy fell 0.5% from the previous month, while the services sector recorded a 0.2% advance.
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(END) Dow Jones Newswires
September 29, 2017 08:45 ET (12:45 GMT)Copyright (c) 2017 Dow Jones & Company, Inc.