Canada’s economy likely grew by 0.9% in March from February, buoyed by strength in manufacturing, retail trade and finance, Statistics Canada said in a preliminary estimate on Friday, putting economic activity within 1% of pre-pandemic levels.
Statscan also said Canada’s economy expanded for the 10th consecutive month in February, rising 0.4% on a rebound in retail trade, though goods-producing industries contracted for the first time since April 2020.
Analysts polled by Reuters had predicted that gross domestic product would grow by 0.5% from January. First quarter annualized GDP most likely rose 6.5%, Statscan said in a preliminary estimate.
The Bank of Canada said last week that it now expects the Canadian economy to grow by 6.5% in 2021, with interest rates now in a position to rise as soon as the second half of 2022.
The Canadian dollar held near an earlier three-year high of 1.2266 per U.S. dollar, or 81.53 U.S. cents, up 0.1% on the day.
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