Overview
- Canada’s real GDP fell 0.1% in May, matching the downturn in April and marking the second straight monthly contraction.
- Retail trade declined 1.2% and mining and oil and gas extraction dropped 1%, while manufacturing rebounded by 0.7%.
- Statistics Canada’s advance figures project a 0.1% increase in June output and 0.1% annualized growth in the second quarter.
- The Bank of Canada held its policy rate at 2.75% for a third consecutive meeting, citing current data that contradicts earlier forecasts of a Q2 contraction.
- U.S.-Canada negotiators are working to finalize a tariff-reducing trade agreement by Friday to stem export losses.