Canada’s GDP expanded by 4.6% in the year up to May, strongest pace in 17 years
Oil and gas and manufacturing grew, while construction and real estate shrank
CBC News Posted: Jul 28, 2017 9:06 AM ET Last Updated: Jul 28, 2017 9:32 AM ET
Canada’s economy grew by almost 5 per cent in the 12 months up to May, Statistics Canada reported Friday. (Dave Chidley/Canadian Press)
Canada’s economy grew by 0.6 per cent in May, the seventh straight monthly gain.
The overall economy has grown by 4.6 per cent in the 12 months leading up to the end of May, Statistics Canada said. That’s the biggest 12-month figure since 2000.
The strong showing blew past what economists were expecting, which was modest growth of 0.2 per cent for the month.
Goods-producing industries outpaced the service sector, with the former expanding by 1.6 per cent, and the latter eking out a 0.2 per cent gain.
Oil and gas extraction grew by 7.6 per cent, while manufacturing grew by 1.1 per cent.
“The big surprise was a massive 13 per cent snapback in … oilsands, which alone accounted for half of the rise in GDP,” Bank of Montreal economist Doug Porter said.
Oil output looks especially strong on an annualized basis, since in May of 2016, the Alberta oilsands were hit hard by a massive and devastating wildfire. It’s also bouncing back from earlier this year, when a major Syncrude upgrader was knocked offline by a fire.
Construction declined by 0.6 per cent, as a strike in the last week of the month affected unionized construction workers in Quebec.
Real estate, rental and leasing shrank by 0.2 per cent.
“There appears to be no holding back the Canadian economy, at least for now,” TD Bank economist Brian DePratto said. “The robustness of the Canadian economy will likely allow the Bank of Canada to carry through with another interest rate increase this fall, completing the removal of the 2015 emergency stimulus.”
“); gigya.socialize.getProviderShareCounts({ callback:window.printSocialCounts, context: container }); }; window.onSendDone = function (event) { if(event.providers) { var providers = event.providers.split(“,”); for(i = 0; i
Latest Business Headlines
- Canada’s GDP expanded by 4.6% in the year up to May, strongest pace in 17 years July 28, 9:32 AM ET comments
- 2 major owners of Sears Canada shares end talks to take over company July 28, 10:44 AM ET comments
- ‘Dithering’ by B.C., Ottawa helped kill Pacific NorthWest LNG, energy CEO says July 28, 5:28 AM ET video
- The slow death of urban parking: Don Pittis July 28, 5:00 AM ET comments
- What the Supreme Court rulings mean for pipeline proponents (it could be good news) July 28, 5:00 AM ET
Must Watch
- VideoWhat makes Jeff Bezos tick
6:16
Richard L. Brandt is the author of One Click: Jeff Bezos and the Rise of Amazon.com
- VideoThe Ticker
10:57
Ian Lee of the Sprott School of Business on some of the day’s top stories
- VideoReplicating aspects of users
6:50
Ramona Pringle, director, Transmedia Zone, Ryerson University, on new applications for artificial intelligence
- VideoChild-care spending
8:26
Nora Spinks, CEO, Vanier Institute of the Family, on the IMF’s calls for Canada to spend more on child care
Watch The Exchange here
- WatchRecent shows and interviewsRecent discussions about business news and newsmakers
Markets
TSX COMPOSITE Rotate stock indices Pause stock rotation Show previous stock PLAY Jul 28, 2017 10:30 AM ET Jul 28, 2017 10:30 AM ET Jul 28, 2017 10:30 AM ET Jul 28, 2017 10:30 AM ET Jul 28, 2017 10:30 AM ET
IndexLast TradeChange
TSX COMPOSITE | 15109.20 | -82.16 |
DOW | 21778.03 | -18.52 |
NASDAQ | 6356.56 | -25.63 |
SP 500 | 2466.56 | -8.86 |
TSX-VENTURE | 770.58 | 1.37 |
The data on this site is informational only and may be delayed; it is not intended as trading or investment advice and you should not rely on it as such.
Most Viewed
- The slow death of urban parking: Don Pittis comments
- Canada’s GDP expanded by 4.6% in the year up to May, strongest pace in 17 years comments
- ‘Dithering’ by B.C., Ottawa helped kill Pacific NorthWest LNG, energy CEO says video
- Parents willing to gift an average of $24K to help grown kids move out, CIBC poll says comments
- Adidas to sell CCM to Toronto-based firm for $110 million US
Right Communications
- The National
Canada’s destination for original journalism and stories with added depth and context.
Stay Connected with CBC News
- Mobile
- Podcasts
- Alerts
- Newsletter
Don’t Miss
- Sears employees try to quash ‘excessive’ bonuses for executive staff
- ‘It’s just been so painful’: Woman warns against lip-filler house parties after medical crisis
- New investment rules fail to reveal some hidden fees
- Rising loonie: Who wins and who loses?
- AnalysisBranding Canadian oil green would be good for industry and for climate change: Don Pittis
- #BoycottSearsCanada: Retailer faces ‘PR nightmare’ over treatment of laid-off workers
- Face your financial future now rather than hiding from your debt
- FIFTH ESTATEJudicial watchdog finds no problem with judges attending sponsored cocktail parties
- AnalysisBetter cellphones are holding down inflation, but it may not feel like it: Don Pittis
- Bitter battle between Big Beer and craft brewers gets uglier
- AnalysisInterest rates are going up but will Canadians tone down their borrowing?
- AnalysisSniffing out the truth about the end of the Canadian real estate boom: Don Pittis