Canada’s economy shrinks for the second time in three months

44
0
Share:

Output from the energy industry fell 0.6 per cent, Statistics Canada said. Lower production of petroleum and coal also drove a 0.5 per cent decline in manufacturing in November, the third drop in four months.

Canada’s economy contracted for the second time in three months on lower energy production, the clearest evidence yet of a soft patch that’s expected to linger through the first part of this year.

Gross domestic product declined 0.1 per cent in November, Statistics Canada said Thursday from Ottawa, matching the median forecast in a Bloomberg survey of economists.

Bank of Canada Governor Stephen Poloz signalled earlier this month he will take longer to add to his five interest-rate increases since the middle of 2017 because of signs of setbacks to growth. The weakness, even if temporary, illustrates risks to an economy that needs business spending to take over from consumers who are burdened by record debts.

Share: