January GDP rises more than expected in January thanks to gains in the energy sector
Statistics Canada reported a 0.6% increase in the January's real GDP, a fourth consecutive monthly increase:
- Oil and gas extraction grew (+1.4%) for the fourth consecutive month in January, mainly as a result of growth in non-conventional oil extraction.
- The conventional oil and gas extraction industry also increased in January, which contributed to a 2.3% expansion in energy services such as drilling.
- Manufacturing also had a good month, expanding 1.9% in January.
- In contrast, the mining sector (excluding the oil sands) contracted 1.1% in January.
Canada's GDP is now tracking at 1.5% year/year, much better than the 1.1% analysts were previously expecting.