Canadian Economy Accelerates in 2nd Quarter
The Canadian economy accelerated in the second quarter as the nation benefited from surging commodity prices and got a boost from the lifting of Covid lockdowns, though signs are emerging the momentum is waning.
Gross domestic product rose at a 3.3% annualized rate after a 3.1% increase in the first three months of the year, Statistics Canada reported Wednesday. Growth was led by stronger household consumption and business spending on inventories.
The report says businesses ramped up their investments in inventories, engineering structures and machinery and equipment.
Meanwhile, household spending on semi-durable goods rose, with the rise driven by an increase in spending on clothing and footwear as more people headed back to the office.
At the same time, housing investment declined in the second quarter along with household spending on durable goods.