Preliminary data released by Statistics Canada shows that the economy stalled in this year’s third quarter, recording no growth from July through the end of September.
Statistics Canada said that preliminary estimates show that gross domestic product (GDP) was essentially unchanged in September and for the entire third quarter of the year.
The federal agency also reported that Canada’s GDP was unchanged in both July and August of this year.
Economic declines in the mining, quarrying, and oil and gas extraction sectors were partially offset by increased economic output in the construction and public sectors, said StatsCan.
Final data for this year’s third quarter will be made public on Nov. 30. However, the preliminary estimate indicates that Canada’s economic activity has plateaued since the summer.
For August, factors such as higher interest rates, inflation, forest fires and flooding across the country weighed on Canada’s economy.
Services-producing industries rose 0.1% in August, while goods-producing industries contracted 0.2%. In all, eight of 20 industrial sectors increased their economic output during the month.
Canada’s manufacturing sector contracted 0.6% in August, as both non-durable goods and durable goods manufacturing declined for a third consecutive month.
Retail sales nationwide contracted 0.7% in August, with seven of 12 subsectors contributing to the monthly decrease.
Those declines were partly offset by increased economic activity in finance and insurance, which grew for a third consecutive month, increasing 0.4% in August.
The transportation and warehousing sector increased 0.8% in August following two monthly declines, as six of 10 subsectors recorded gains.
While Canada’s economy has not contracted, it has not posted any growth since June of this year, noted Statistics Canada.
