The Toronto skyline in Canada

Canada GDP February 2019

Canada: Economic activity contracts in February

The economy shrank 0.1% month-on-month in February, contrasting January’s 0.3% expansion and missing analysts’ expectations of a flat reading. According to Statistics Canada, only 11 out of the 20 industrial sectors posted gains over the previous month, with both the transportation and the mining and quarrying and oil and gas extraction sector declining sharply.

On an annual basis, growth ticked down to 1.1% in February from 1.6% in the previous month, while annual average growth inched down to 1.8% from 1.9% in January.

Commenting on February’s print, Brian DePratto, a senior economist at TD Economics, noted:

“It looks like we may be in the soft patch for a bit, particularly as trade and transportation sector data suggests little destocking in the energy sector despite production curtailments. This suggests a risk of another subpar performance in the second quarter. The good news, however, is that the underlying economic signals remain generally healthy, with construction activity rising for a second month, and some modest signs of life in investment.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest