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7/29/2016, 3:46 PM (Source: TeleTrader)
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Canadian economy shrinks 0.6% in May

Real gross domestic product of Canada fell 0.6% in May, which was "primarily due to lower non-conventional oil extraction, a consequence of the Fort McMurray wildfire and evacuation," according to data from Statistics Canada published on Friday. This was the largest GDP monthly decline since March 2009.

Manufacturing output was down 2.4% in May. Non-durable goods manufacturing fell 2.8%. Durable-goods manufacturing was 2.1% lower.

The wildfire in Fort McMurray (aftermath pictured) caused a fall of 2.8% in the output of goods producers. The activities in mining, quarrying, and oil and gas extraction sectors fell 6.4%. The output of the non-conventional oil extraction industry plunged 22%. Excluding the latter, real GDP edged down 0.1% in May.

The services activities edged up 0.3% in the month, including retail, the public sector (education and health), and the finance and insurance sector.

The Canadian dollar was 0.36% stronger against the U.S. dollar, while being 0.35% weaker against the euro. The loonie fell 1.93% versus the strong Japanese yen and inched down 0.07% against the British pound at 3:38 p.m. CET.

The S&P/TSX Composite index had recorded a rise of 12% so far this year and opened 0.11% lower on Friday at 14,535 points.

 

Breaking the News / ZR