More signs are emerging that the economy is fighting its way higher.
Statistics Canada says Canadian municipalities issued building permits worth $7.2 billion in October, up 7% from the previous month and continuing an upward trend.
The increase came on the heels of a 4.1% increase the previous month. All in all, building permits have increased in eight of the 10 months this year, and the data agency says the trendline is moving higher.
Building permits are considered a leading indicator of the economy because they telegraph construction work to come. And people and businesses don't tend to invest in improving and upgrading property unless they are confident in their prospects.
StatsCan says the uptick in building permits came because of higher building intentions in the residential and non-residential sectors, especially in Ontario.
In the residential sector, six provinces issued more permits for work, bringing the total to its highest level since last May. Alberta was a notable exception, where construction intentions declined.
In all, 19 of Canada's 34 largest cities saw higher construction intentions
Canadian municipalities approved the construction of 18,823 new dwellings, up 6.9% from September. This increase was attributable to multi-family dwellings such as condos, which rose 12.2% to 12,465 units.
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