Canada February GDP - Q1 looking in line with BoC forecast
February Canadian GDP with a 0.2% increase was as predicted with January’s report with January revised at 0.1%. The preliminary estimate fir March is unchanged. This implies a 1.7% annualized increase in Q1, similar to a recent 1.5% Bank of Canada estimate.
February data shows goods up by 0.4% led by a 1.8% rise in manufacturing. Construction and agriculture saw declines.
Services rise by only 0.1% despite solid gains in wholesale and transportation/warehousing. Slippage was seen in education and arts/entertainment/recreation. The latter was depressed as the National Hockey League took a break for the Winter Olympics.
For March further gains are seen in wholesale and transport/warehousing but declines in retail and mining/quarrying/oil and gas extraction. The oil industry is likely to be boosted by higher prices, but apparently not as soon as March.
