Figures released this morning by Statistics Canada point to our economy turning back upward once again.
The agency said January Gross Domestic Product rose a stronger-than-expected 0.2% which helped offset the 0.2% decline recorded in December. Expectations going into the report were for a more modest 0.1% gain.
Strength in the month was led by a 0.4% rise in output in goods-producing industries. The increase received a boost from manufacturing activity rising 1.2% in the month. Mining output was up a more moderate 0.2% with construction activity down 0.1%.
Service-producing industries managed to increase output as well rising 0.2%. This was helped by wholesale trade rising 0.7% in the month.
As well, the nation's number-crunchers point to the ending of NHL lockout, which it says helped boost the arts, entertainment and recreation component by 4.1% after four consecutive months of declines. Accommodation and food services rose 0.8% which in part may also have benefited from the ending of the lockout.
The increase in January GDP helps offset the disappointing decline in December, and, say experts at RBC Economics, "this increase augurs well for our forecasted annualized Q1 GDP growth strengthening to 1.9% relative to the 0.6% increase recorded in Q4."
